Tribune Resources Limited
ABN 11 009 341 539
Annual Report - 30 June 2023
Tribune Resources Limited
Contents
30 June 2023
Corporate directory
Directors' report
Auditor's independence declaration
Consolidated statement of profit or loss and other comprehensive income
Consolidated statement of financial position
Consolidated statement of changes in equity
Consolidated statement of cash flows
Notes to the consolidated financial statements
Directors' declaration
Independent auditor's report to the members of Tribune Resources Limited
Shareholder information
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Tribune Resources Limited
Corporate directory
30 June 2023
Directors
Otakar Demis - Non-Executive Chairman
Anthony Billis - Executive Director, Managing Director and Chief Executive Officer
Gordon Sklenka - Non-Executive Director
Alternate Director
Lyndall Vaughan (alternate to Otakar Demis)
Company secretaries
Otakar Demis
Stephen Buckley
Notice of annual general meeting
The annual general meeting of Tribune Resources Limited will be held at:
The Plaza Hotel
45 Egan Street
Kalgoorlie WA 6430
on 24 November 2023 at 9.00am
Registered office
Principal place of business
Share register
Auditor
Bankers
Suite G1, 49 Melville Parade
South Perth WA 6151
Tel: +61 (8) 9474 2113
Fax: +61 (8) 9367 9386
Suite G1, 49 Melville Parade
South Perth WA 6151
Correspondence address:
PO Box 307
West Perth WA 6872
Advanced Share Registry Services Limited
110 Stirling Highway
Nedlands WA 6009
Tel: +61 (8) 9389 8033
Fax: +61 (8) 9262 3723
RSM Australia Partners
Level 32, Exchange Tower
2 The Esplanade
Perth WA 6000
Australia and New Zealand Banking Group Limited ('ANZ')
77 St George's Terrace
Perth WA 6000
Stock exchange listing
Tribune Resources Limited shares are listed on the Australian Securities Exchange (ASX code: TBR)
Website
www.tribune.com.au
Corporate Governance Statement
The Company’s directors and management are committed to conducting the Group’s business in an
ethical manner and in accordance with the highest standards of corporate governance. The Company
has adopted and substantially complies with the ASX Corporate Governance Principles and
Recommendations (Fourth Edition) (‘Recommendations’) to the extent appropriate to the size and
nature of the Group’s operations.
The Company has prepared a Corporate Governance Statement which sets out the corporate
governance practices that were in operation throughout the financial year for the Company, identifies
any Recommendations that have not been followed, and provides reasons for not following such
Recommendations.
The Company’s Corporate Governance Statement and policies, approved at the same time as the
Annual Report, can be found on the Company's website:
http://www.tribune.com.au/corporate-governance-and-information/
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Tribune Resources Limited
Directors' report
30 June 2023
The directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as the 'Group') consisting
of Tribune Resources Limited (referred to hereafter as the 'Company', 'parent entity' or 'Tribune') and the entities it controlled at the end of, or
during, the year ended 30 June 2023.
Directors
The following persons were directors of Tribune Resources Limited during the whole of the financial year and up to the date of this report, unless
otherwise stated:
Otakar Demis
Anthony Billis
Gordon Sklenka
Alternate Director:
Lyndall Vaughan*
Non-Executive Chairman
Executive Director, Managing Director and Chief Executive Officer
Non-Executive Director
Appointed 14 August 2023
*
Alternate to Otakar Demis
Principal activities
The principal activities of the Group during the year were exploration, development and production activities at the Group’s East Kundana Joint
Venture tenements ('EKJV').
Exploration projects that were advanced during the year include the Diwalwal Gold Project, Philippines and Japa Gold Project, Ghana.
Dividends
Dividends paid during the financial year were as follows:
2023
$
2022
$
A dividend of 20 cents per ordinary share was paid to shareholders on 15 November 2022 (30 June 2022:
dividend of 20 cents per ordinary share paid on 5 November 2021).
10,493,615
10,493,615
Other than the above, there were no further dividends recommended or declared during the current financial year.
Review of operations
The profit for the Group after providing for income tax and non-controlling interest amounted to $522,824 (30 June 2022: $1,797,673).
East Kundana Joint Venture
The East Kundana Joint Venture ('EKJV') is located 25km west north west of Kalgoorlie and 47km north east of Coolgardie.
The EKJV is between Rand Mining Limited ('Rand') (12.25%), Tribune Resources Limited ('Tribune') (36.75%) and Gilt-Edged Mining Pty. Limited
('GEM') (51%). On 18 August 2021, Gilt-Edged Mining became a wholly owned subsidiary of Evolution Mining Limited.
Group numbers referred to in the following EKJV commentary are a consolidation of Rand and Tribune unless otherwise stated.
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Tribune Resources Limited
Directors' report
30 June 2023
Note: The Joint Venture deposits are located within the red shaded area. Other deposits as indicated on this map do not belong to either Tribune
Resources or the Joint Venture.
KUNDANA PROJECT
Location Map
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Tribune Resources Limited
Directors' report
30 June 2023
EAST KUNDANA JOINT VENTURE
Deposit Locations
Note: The Joint Venture deposits are located within the red shaded area. Other deposits as indicated on this map do not belong to either Tribune
Resources or the Joint Venture.
Production
Raleigh
In April 2023, rehabilitation and development activity recommenced in Raleigh mine.
Capital development in the Raleigh and Sadler mining areas achieved 97.5 metres of jumbo development. 7.1 metres of operating development in
the Sadler area occurred in June 2023.
2,995 tonnes of stockpiled ore was removed from Raleigh to gain access to existing production areas and was stockpiled on surface.
Raleigh will continue to be developed in FY2024 with scheduled ore production during the coming year.
Rubicon/Hornet/Pegasus
During the year ended 30 June 2023, a total of 432,316 tonnes of EKJV ore at 4.98 g/t containing 69,254 oz of gold were mined from the Rubicon,
Hornet and Pegasus ore bodies.
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Tribune Resources Limited
Directors' report
30 June 2023
The Group’s entitlement to the ore extracted was 211,835 tonnes and 33,935 ounces of gold, compared to 223,091 tonnes and 28,195 ounces of
gold the previous year.
Year on year RHP Mine production is summarised in the following table:
Mine Claimed Production
Year
11/12
12/13
13/14
14/15
15/16
16/17
17/18
18/19
19/20
20/21
21/22
22/23
The Group's entitlement
Mined
(t)
78,229
266,113
314,685
605,988
761,483
843,340
996,445
1,072,429
954,188
888,507
455,288
432,316
211,835
Rubicon/Hornet/Pegasus
Gold
(oz)
Grade
(g/t)
9.6
10.3
11.3
9.5
7.3
7.1
6.2
6.0
5.1
3.7
3.9
5.0
5.0
24,103
88,666
114,454
184,302
178,931
192,487
198,276
208,264
156,158
106,283
57,540
69,254
33,935
Ore Stockpiles
As of 30 June 2023, the Group had 102,341 tonnes of ore stockpiled at a grade of 1.70 g/t which contained 5,586 oz of gold.
The breakdown of the Group's high and low grade ore stockpiles is tabulated below:
Tribune Ore Stockpiles
ROM Pad
Ore Source
EKJV Stockpiles
Rubicon ROM
Rubicon ROM
Mungari ROM
Mungari ROM
Raleigh ROM
Rubicon ROM
Mungari ROM
Mungari
Group Share of EKJV Stockpiles
EKJV RHP Ore
EKJV RPH Low grade
EKJV RPH Ore
EKJV RPH Low grade
EKJV RAL MW
EKJV RHP MW
EKJV RHP MW
EKJV Crushed Ore
Ore
Tonnes
Grade
g/t
Ounces
Au
Group
Entitlement
10,997
1,928
37,204
-
1,080
152,825
3,761
1,042
102,341
3.04
2.37
4.68
-
1.09
0.88
0.92
3.55
1.70
1,075
147
5,593
-
38
4,316
111
119
5,586
49.00
49.00
49.00
49.00
50.00
49.00
49.00
49.00
100.00
The Group’s ore stockpile increased by 85,544 tonnes and 3,434 ounces of contained gold in the 12 months from 30 June 2022.
Processing
All ore was processed at Evolution Mining Limited Mungari processing plant during the year.
The Group's share of ore processed is outlined in the table below:
Group Share of Ore Processed
Campaign Location
EVN Mungari
Total
Tonnes
Milled
Head Grade Au
(g/t)
Recovery
(%)
213,440
213,440
4.82
4.82
95.30
95.30
Fine Au
Produced
(Oz)
31,491
31,491
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Tribune Resources Limited
Directors' report
30 June 2023
Historical gold production from the EKJV is summarised below:
The Group's Gold Bullion
To
FY2023
FY2022
FY2021
FY2020
FY2019
FY2018
FY2017
FY2016
FY2015
FY2014
FY2013
FY2012
FY2011
FY2010
FY2009
FY2008
FY2007
FY2006
Total
Gold
(oz)
31,491
37,372
83,630
56,352
119,834
94,751
109,451
103,747
97,420
79,907
95,554
61,864
64,716
77,624
32,478
59,638
49,335
25,599
1,280,763
Silver
(oz)
3,657
6,286
3,039
8,335
20,567
14,690
20,728
20,647
21,027
18,854
17,248
15,841
8,639
12,019
4,649
8,048
6,640
3,951
214,865
Exploration
Drilling activities for the year ended 30 June 2023 included 1,558m of infill drilling for the Nugget orebody, and the K2A mineralised horizon. The
drilling was to infill the Nugget orebody and K2A mineralised zone for resource conversion. The drilling was performed in the first quarter of the
current financial year.
Full details of all EKJV exploration activities including significant intersections from results received are contained the Quarterly EKJV Exploration
Reports available on the ASX.
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Tribune Resources Limited
Directors' report
30 June 2023
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Tribune Resources Limited
Directors' report
30 June 2023
Other projects
West Kundana Joint Venture (Tribune’s Interest 24.5%)
The West Kundana Joint Venture (WKJV) is between Tribune Resources Ltd. (24.50%) and Gilt-Edged Mining Pty. Ltd. (75.50%), who also act as the
Joint Venture Managers.
The tenements are located in the Norseman-Wiluna Archaean greenstone belt in the Eastern Goldfields province of Yilgarn Craton, Western
Australia. Minimal work was undertaken during the year with project work for project ranking due to be undertaken by the Managers soon.
Seven Mile Hill (Tribune’s Interest 50%)
The Seven Mile Hill Project lies 12km west of Kalgoorlie. Joint tenement ownership is between Rand Mining Ltd and Tribune Resources Ltd.
During the year geological logging of drill core from the diamond drilling campaign was partially completed identifying variety of rock-types, with
sulphide alteration and quartz veining relatively common.
Further geological logging of the drill core is to be continued and the potential for additional drill hole targets is being considered. A number of the
planned holes in the previous drilling campaign were not completed and are being reviewed for continuation of future drilling.
A survey of the Seven Mile Hill mining tenements was completed during the year with the documentation submitted to DMIRS. An overview of the
mining leases is shown below.
Tribune Resources Ghana Limited (Tribune’s Interest 100%)
The Japa Mining Lease is in the Western Region of Ghana, approximately 110 km South West of Kumasi and 50 km North of Tarkwa, centred in the
village of Japa in the Wassa Amenfi East District. The lease covers a 26.20 square kilometre area within the Akropong Belt, an offshoot of the Ashanti
Belt, developed within the Birimian Supergroup that hosts the most important multi-million-ounce Ashanti type lode-gold deposits of West Africa.
The gold potential of the Japa Mining Lease has been demonstrated by the success of Tribune’s exploration work over a 15-year period whereby
Tribune has defined significant gold mineralisation at several prospects within the mining lease area.
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Tribune Resources Limited
Directors' report
30 June 2023
Activities undertaken by Tribune during the year included review of the drilling to identify additional drilling targets to reclassify the resources for
the advancement of the project. An arial UAV Topographic survey was conducted including ground truthing of the concession to assist in future
resource model evaluation of the Japa Project Area. An Environmental Impact Assessment and baseline studies were conducted during the year to
further progress the company’s requirements to commence mining and production activities on the concession. The results of the scoping study
were submitted to the Ghanian Minerals Commission.
No mining activities nor mineral production were undertaken by the Company during the fiscal year ending June 2023.
Resource Estimation
Mining Plus Pty Ltd of Australia was contracted by Tribune Resources to undertake the resource estimation of all the drilling activities undertaking
by Tribune on its Mining Lease. The highlights of the report is present in the table below.
Mineral Resource Estimate for the Adiembra Deposit - July 2020
Type
Open Pit
Total Adiembra
Classification
Indicated
Inferred
Cut Off Grade
g/t
Tonnes*
Gold Grade
g/t
Gold
Ounces*
0.5
0.5
0.5
4,640,000
16,350,000
20,990,000
2.6
2.7
2.7
390,000
1,420,000
1,810,000
*
Dry metric tonnes rounded to nearest 10,000. Ounces rounded to nearest 10,000. Discrepancies may occur due to rounding.
A drilling program has been designed for the upgrading of the Mineral Resources. The scope includes infill and extensional drilling of target areas to
upgrade the resource classification.
Plan of Adiembra infill and sterilisation drilling. Showing Resource model pit shell limit with Indicated and Inferred Resource blocks and
unclassified mineralisation blocks colured by block grade.
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Tribune Resources Limited
Directors' report
30 June 2023
Diwalwal Gold Project (Philippines)
The Diwalwal Gold Project is located approximately 120 km northeast of Davao City on Mindanao Island in the Philippines. Tribune has relevant
interest in the 729 Area and Upper Ulip subdivisions of the Diwalwal Mineral Reservation.
The region is located east of the Philippine fault system in the Southern Pacific Cordillera, which hosts a north striking band of epithermal gold
deposits. The Diwalwal Project area geology is dominated by Cretaceous to Paleogene volcanics consisting of andesitic to basaltic lavas, pyroclastics
and volcaniclastics. The volcanic units have been intruded by Miocene diorite. These units are unconformably overlain by a series of younger
sediments.
The gold mineralisation at Diwalwal is classified as low-sulphidation epithermal type with gold-bearing quartz veins hosted in extensional fractures
developed predominantly within the lava sequences. The 729 Area and Upper Ulip contain mineralised veins with the most significant located to
date being Balite and Buenas Tinago, located within 729 Area. Both of these veins have been exploited by small-scale mine operations via numerous
access tunnels and adits for several decades.
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Tribune Resources Limited
Directors' report
30 June 2023
Topographic map of Diwalwal Mineral Reservation. Tribune has relevant interest in the 729 Area and Upper Ulip subdivisions.
Tribune's interest relates to the Balite mineralisation within 729 Area below an elevation of 600 metres above sea level. Access to Balite is by the
Victory Tunnel and refurbishment of the tunnel to establish diamond drill positions and explore the vein system further has been the principal focus
of activities since acquiring the project. Refurbishment of Victory Tunnel was complete in August 2020 and completion of a 36 hole diamond drilling
campaign in July 2021.
Long projection view of Victory Tunnel looking north showing all holes completed to date and highlighting holes UBADH-032, UBADH-034 to
UBADH-036 assay results. Drill hole traces are coloured by geology and mineralised intersections.
Underground mapping and sampling returned appreciable results in West Drift and L-585 areas. Continuous 1m average channel cut rock chip
sampling returned 5.07, 9.53, 4.12, 6.89, 5.83 ppm Au in West Drift and 5.26 and 3.77 ppm Au in L-585. Gold-silver ratios are indicative of mineralised
horizon together with the other tracer elements.
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Tribune Resources Limited
Directors' report
30 June 2023
Plan view of Victory Tunnel showing coverage of recent underground mapping and sampling.
Surface and underground exploration in small-scale mine (SSM) workings in Lantawan provide more evidence of a high level epithermal
system. Shown in the map below, Lantawan vein is extended to at least 200m of strike length to the north (green outline). The veins are NE-SW
trending, slightly offset to the north of the main Lantawan vein trace. More NW-SE trending veins are mapped at the southern portion (white
outline). These veins appear to be spur veins, some orthogonal to the Lantawan Ridge. The quartz ± calcite veins are 5-30cm wide, usually faulted.
Vein texture varies from massive to fine crystalline, to milky in some portions. Trenching and test-pit activities tested vein extensions, returning
appreciable gold results, the highest so far at 29.3ppm. High-risk SSM operations continue to persist in the area, proving the high-grade nature of
the veins.
Lantawan vein system and small scale mining activities
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Tribune Resources Limited
Directors' report
30 June 2023
More than 1,200m strike length from Kumander Inday tunnel to high gold test pit
Environment
Tree nursery operations continue with the collection and propagation of endemic wildlings and rearing of selected hardwood and bamboo. A
Materials Recovery Facility (MRF) is also maintained in Mabatas Camp to separate waste and recyclable materials.
4,320 seedlings were acquired for Mabatas Nursery. By the end of the year, 6,035 seedlings remain in the nursery, mostly Gmelina, narra, mangium
and some fruit-bearing trees. During the year, 2,378 seedlings were released (donated/planted).
In July 28, PMDC initiated a tree-planting activity where Pacominco donated and planted 400 mahogany seedlings. Bamboo, Gmelina, mahogany,
and narra seedlings were also planted around Mabatas Camp and in exploration areas as well during rehabilitation of geology trenches.
Planted trees in Mabatas Ancestral Elementary and High School are also being maintained on a regular basis.
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Tribune Resources Limited
Directors' report
30 June 2023
Acquired 4,320 seedlings for Mabatas Nursery
Community Participation in tree-planting activity on 28 July 2022
Resources and reserves
At 30 June 2023, Tribune’s Mineral Resources amounted to 25.0 million tonnes grading 3.0g/t gold for 2.4 million ounces of gold.
The EKJV Mineral Resource was reported within A$2,200/oz optimised mining shapes and is inclusive of Ore Reserves but excludes mined areas and
areas sterilised by mining activities.
Comparison with the Mineral Resources at 30 June 2022 shows an increase of 704,000 tonnes and increase of 34,000 ounces due to revised costs
and design parameters, revised gold price assumption, mining depletion and stockpile adjustment. The UG Mineral Resource at Falcon and Star Trek
Underground are new additions to the 31 December 2022 Mineral Resource statement.
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Tribune Resources Limited
Directors' report
30 June 2023
The design changes are attributable to:
●
●
●
●
●
Assumed gold price change from A$2,000/oz. to A$2,200/oz.
Reduced processing costs based on development of a 4.2 million tonne per annum plant (Future Growth Project) at Mungari
Underground mining costs increased in line with review of actual costs
Sustaining capital and haulage costs excluded
Open Pit metallurgical recovery increased to 93.5% to better reflect actual performance at deposit grades (previously 86% recovery was
calculated using a 0.5g/t gold cut-off grade.)
Mineral Resources Comparison
Deposit
EKJV and Stockpiles
Adiembra
Total
30 June 2023
(Mt)
30 June 2023
Au (g/t)
30 June 2023
Au (Moz)
30 June 2022
(Mt)
30 June 2022
Au (g/t)
30 June 2022
Au (Moz)
3.97
20.99
24.96
4.8
2.7
3.0
0.61
1.81
2.42
3.27
20.99
24.26
5.5
2.7
3.1
0.58
1.81
2.39
At 30 June 2023, Tribune’s Ore Reserves amounted to 1.1 million tonnes grading 5.2g/t gold for 191,000 ounces of gold.
Ore Reserves use a $1,600 per ounce gold price assumption for generating cut-off grades that are used in optimisations in line with Evolution Mining
Strategic Planning Standards. The reported Ore Reserve is defined within appropriately designed open pit shapes or underground stope shapes
which have considered relevant modifying factors and include planned dilution and ore loss. Comparison with the Ore Reserves at 30 June 2022
shows a decrease of approximately 13,000 ounces in Ore Reserves attributed to:
●
●
●
Depletion (including stockpiles) of
Design changes primarily due to increased gold price and increased process recovery offset against increased production costs
New data from drilling in the Hera Lode
Ore Reserves Comparison
Deposit
EKJV and Stockpiles
30 June 2023
(Mt)
30 June 2023
Au (g/t)
30 June 2023
Au (Moz)
30 June 2022
(Mt)
30 June 2022
Au (g/t)
30 June 2022
Au (Moz)
1.15
5.2
0.19
1.31
4.8
0.20
16
Mineral Resources
30 June 2023
MEASURED
INDICATED
INFERRED
TOTAL RESOURCES
Tonnes
(000's)
Grade
(g/t)
Ounces
(000's)
Tonnes
(000's)
Grade
(g/t)
Ounces
(000's)
Tonnes
(000's)
Grade
(g/t)
Ounces
(000's)
Tonnes
(000's)
Grade
(g/t)
Ounces
(000's)
Surface
Underground
Stockpiles RHP
Sub-Total East Kundana JV
Adiembra, Japa Project, Ghana
TOTAL
-
750
102
852
852
-
5.8
1.7
5.3
5.3
-
139
6
145
145
190
2,150
-
2,340
4,640
6,980
3.4
5.5
-
5.3
2.6
3.5
21
380
-
401
390
791
90
2,010
-
2,100
16,350
18,450
1.4
4.1
-
4.0
2.7
2.9
4
268
-
272
1,420
1,692
280
4,910
102
5,292
20,990
26,282
2.8
5.0
1.7
4.8
2.7
3.1
25
787
6
818
1,810
2,628
3
0
J
u
n
e
2
0
2
3
D
i
r
e
c
t
o
r
s
'
r
e
p
o
r
t
T
r
i
b
u
n
e
R
e
s
o
u
r
c
e
s
L
i
m
i
t
e
d
Ore Reserves
30 June 2023
1
7
Surface
Underground
Stockpile RHP
Sub-Total East Kundana JV
TOTAL
Notes to tables:
Tonnes
(000's)
-
310
102
412
412
PROVED
Grade
(g/t)
-
6.1
1.7
5.0
5.0
Ounces
(000's)
Tonnes
(000's)
-
61
6
67
67
70
1,050
-
1,120
1,120
PROBABLE
Grade
(g/t)
4.9
5.2
-
5.2
5.2
TOTAL RESERVES
Ounces
(000's)
Tonnes
(000's)
Grade
(g/t)
Ounces
(000's)
11
176
-
187
187
70
1,360
102
1,532
1,532
4.9
5.4
1.7
5.1
5.1
11
237
6
254
254
EKJV Resources and Reserves are estimated by Evolution Mining Limited for
period ending 31 December 2022 and were reported on 16 February 2023 in
Evolution Mining Limited ASX Announcement “Annual Mineral Resources and
Ore Reserves Statement” included in the Mungari results and by the Company
on ASX on 21 March 2023.
Stockpiles are reported as at 30 June 2023
Resources and Reserves as reported on a consolidated basis - Tribune Resources
Limited and Rand Mining Limited
Resources are inclusive of Reserves.
Gold price used for the EKJV Resource Estimation is AUD$2,200/oz.
Gold price used for the EKJV Reserve Estimation is AUD$1,600/oz.
Data is reported to significant figures to reflect appropriate precision and may not sum
precisely due to rounding
Tribune Resources Limited
Directors' report
30 June 2023
Mineral Resource and Ore Reserve Governance and Internal Controls
The Manager of the EKJV prepares the EKJV Mineral Resources and Ore Reserves on an annual basis in accordance with the 2012 Edition of the
Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code). Competent Persons named by the
EKJV Manager are Members or Fellows of the Australasian Institute of Mining and Metallurgy and/or the Australian Institute of Geoscientists and
qualify as Competent Persons as defined in the JORC Code.
The Company is represented on the EKJV Technical Committee which reviews the Mineral Resource and Ore Reserve estimates and procedures
undertaken. The Company’s Competent Persons and consultants audit internal reviews by the EKJV Manager and external reviews by independent
consultants of Mineral Resource and Ore Reserve estimates and procedures. These audits have not identified any material issues.
Tribune Resources engaged independent mining consultancy Mining Plus Pty Ltd to conduct the Mineral Resource estimation for the Adiembra Gold
Deposit. This estimate has been reviewed by the Company’s Competent Person.
Competent Person Statements
The information in the Company’s 2023 Annual Report that relates to Mineral Resources and Ore Reserves is based on information and supporting
documentation prepared by the Competent Persons referred to in the ASX announcements detailed in the footnotes to the Minerals Resources and
Ore Reserves Tables (Tables) and fairly and accurately represents that information.
The Mineral Resources and Ore Reserves statement included in this Annual Report, as well as the information provided by the Competent Persons
referred to in the relevant ASX announcements detailed in the footnotes to the Tables, have been reviewed and approved by Mr Gregory
Barnes. Exploration results presented in this report have been prepared in accordance with the 2012 Edition of the Australasian Code for Reporting
of Exploration Results, Mineral Resources and Ore Reserves (JORC Code) by Mr Gregory Barnes. Mr Barnes is a Member of the Australasian Institute
of Mining and Metallurgy, is a self-employed consulting geologist to Tribune Resources and has sufficient relevant experience in the activities
undertaken and styles of mineralisation being reported to qualify as a Competent Person under the JORC Code. Mr Barnes consents to the inclusion
in this report of the information compiled by him in the form and context in which it appears.
Financial review
The results and commentary in this section relate to the 12 months ended 30 June 2023. During this period the Group reported an after tax profit
of $4,902,590 after tax decrease of $2.5m or 34% on the previous year (30 June 2022: $7,475,592).
This was primarily due to a $32m reduction in gold sales during 2023. The Group also sold $2.4m in ore last year with no ore sales this year.
Overall expenses decreased by $27.3m during the year from $110.5m in 2022 to $83.2m in 2023. This was due to a range of factors with significant
items being:
●
●
$3m in increased mining costs;
A $5.2m reduction in processing expenses with 213,440 tonnes mined during the year compared to 318,953 tonnes mined in the prior year;
and
$9.8m noncash write off of historical capitalised drilling expenses in the EKJV.
●
Financial position
The current assets of the Company decreased on 30 June 2023 to $215.4m from $219m in 2022. Cash and inventory remained stable however there
were general decreases in receivables and income tax refunds due.
Non-current assets decreased over the period by 18% mostly due to amortisation and depreciation of EKJV assets and a noncash write off of
historical capitalised drilling of $9.8m in the EKJV to the profit and loss.
Total liabilities decreased over the period largely due to decreased payables and decreases in lease liabilities as the EKJV leases come to an end.
Cash flow
The cashflow from operating activities for the financial year were $28.3m compared to $37.8 in 2022. This was predominately driven by lower gold
sales during the year. Income tax payments also reduced over the period.
Cash outflows from investing decreased in 2023 to $13.7m from $19.2m in 2022. Over the period the Group saw a 71% decrease in exploration and
evaluation spending and a 34% increase in mine development spending at the EKJV.
Cash outflows from financing activities saw a decrease of $1.6m due to reductions in EKJV equipment lease payments as the leases come to an end.
Corporate
Share Buy-Back
On 24 January 2023, the Company announced it would undertake an on-market-buy-back of ordinary shares up to a maximum of 5,246,807 ordinary
fully paid shares.
Proceedings against EKJV Management and others
On 23 December 2022. The, the Supreme Court of Western Australia dismissed Rand and Tribune’s claims against EKJV Management, Northern Star
(Kanowna) Pty Ltd and others ('Northern Star Group'). The matter of the amount of costs payable by Tribune and Rand has not been determined at
this time and remains an ongoing matter.
18
Tribune Resources Limited
Directors' report
30 June 2023
Material business risks
The material business risks the Group believes may have an impact on its operating and financial prospects are as follows:
Gold price and foreign exchange currency fluctuations
The Group is exposed to fluctuations in the gold and silver prices which can impact revenue. The Board actively monitors the price of gold and silver
to ensure that the best prices are achieved on each sale.
Through its projects in Ghana and the Philippines the Group is also exposed to foreign exchange rate fluctuations which can impact costs. The Board
monitors exchange rates to ensure they can achieve the best price possible on each currency purchase.
Mineral Resources and Ore Reserves
The Group’s Mineral Resources and Ore Reserves are estimates based largely on interpretations of geological data. No assurances can be given that
Resources and Reserves are accurate and that the indicated levels of gold and silver can be recovered from any project. To reduce the risks the
Group ensures estimates are determined in accordance with the JORC Code and compiled or reviewed by qualified competent persons.
East Kundana Joint Venture risk
The Group does not have a controlling interest in the East Kundana Joint Venture and is therefore reliant on the manager to effectively manage the
operating risks of mining operations and to provide accurate information in relation to those operations.
The Group monitors the operations of the Joint Venture via Operating and Technical Committees. The Group also makes every effort to ensure that
the information received from the Manager is accurate seeking external advice or making its own enquiries where necessary.
Government regulation
The Group’s operations and exploration are subject to extensive laws in Australia, Philippines, and Ghana. The Group can not give any assurances
that future amendments to current laws or regulations won’t have a material impact on its projects. The Group monitors new laws and regulations
to ensure compliance and address any impacts on projects as early as possible.
Exploration and development risk
Sustaining or increasing current levels of production in the future is in part dependent on successful exploration and development activities. There
is a risk that Ore Reserves may be depleted and not offset by new discoveries or developments. The exploration for, and development of, mineral
deposits involves significant risks that even a combination of careful evaluation, experience and knowledge may not eliminate. While the discovery
of an ore body may result in substantial rewards, few properties that are explored subsequently have economic deposits of gold identified, and
even fewer are ultimately developed into producing mines. Major expenses may be required to locate and establish mineral reserves, to establish
rights to mine the ground, to receive all necessary operating permits, to develop metallurgical processes and to construct mining and processing
facilities at a particular site.
Climate change
The Group acknowledges that its business may be impacted by the effects of climate change. The Group is committed to understanding these risks
and developing strategies to manage their impact.
Environmental, health and safety
The Group has environmental liabilities associated with each project which have arisen because of its mining operations and exploration projects.
The Group is subject to extensive laws and regulations governing the protection and management of the health and safety of workers, the
environment, waste disposal, mine development and rehabilitation and local cultural heritage.
The Group seeks to obtain and comply with the required permits and approvals needed for each project. It acknowledged that any delays in obtaining
these approvals may affect the Group’s operations or its ability to continue its operations. Any non-compliance may result in regulatory fines and/or
civil liability.
Cyber attack
Our operations are supported by and dependent upon information technology managed internally and by the third party providers who manage
our cloud services. There is a risk that cyber attacks could cause business disruption, financial loss, inappropriate disclosure of information or
reputation damage.
To manage these risks the Group employs a number of technical controls such as firewalls and antivirus software. They monitor all security incidents
and escalates them to our external IT partners as necessary. The Group has also implemented disaster recovery testing and training and is working
with third party providers to understand their disaster recovery processes and address any risks.
Significant changes in the state of affairs
There were no significant changes in the state of affairs of the Group during the financial year.
Matters subsequent to the end of the financial year
No matter or circumstance has arisen since 30 June 2023 that has significantly affected, or may significantly affect the Group's operations, the
results of those operations, or the Group's state of affairs in future financial years.
19
Tribune Resources Limited
Directors' report
30 June 2023
Likely developments and expected results of operations
The Group intends to continue its exploration, development and production activities on its existing projects and to acquire further suitable projects
for exploration as opportunities arise.
Environmental regulation
The Group is subject to and compliant with all aspects of environmental regulation of its exploration and mining activities. The directors are not
aware of any environmental law that is not being complied with.
Greenhouse gas and energy data reporting requirements
The Group is subject to the reporting requirements of both the Energy Efficiency Opportunities Act 2006 and the National Greenhouse and Energy
Reporting Act 2007.
The Energy Efficiency Opportunities Act 2006 requires the Group to assess its energy usages, including the identification, investigation and
evaluation of energy saving opportunities, and to report publicly on the assessments undertaken, including what action the Group intends to take
as a result. Due to this Act, the Group, via its participation in the EKJV has registered with the Department of Resources, Energy and Tourism as a
participant entity and reports the results from its assessments.
The National Greenhouse and Energy Reporting Act 2007 require the Group, via its participation in the EKJV, to report its annual greenhouse gas
emissions and energy use. The Group has previously implemented systems and processes for the collection and calculation of data.
Information on directors
Name:
Title:
Experience and expertise:
Other current directorships:
Former directorships (last 3 years):
Interests in shares:
Interests in options:
Name:
Title:
Experience and expertise:
Other current directorships:
Former directorships (last 3 years):
Interests in shares:
Interests in options:
Name:
Title:
Qualifications:
Experience and expertise:
Other current directorships:
Former directorships (last 3 years):
Interests in shares:
Interests in options:
Alternate director
Name:
Title:
Experience and expertise:
Other current directorships:
Former directorships (last 3 years):
Interests in shares:
Interests in options:
Otakar Demis
Non-Executive Chairman and Joint Company Secretary
Otakar is a private investor and businessman with over 30 years experience as a director of the
Company.
Non-Executive Chairman and Joint Company Secretary of Rand Mining Limited (ASX: RND)
None
12,000 ordinary shares held directly
None
Anthony Billis
Executive Director and Managing Director
Anthony has over 30 years’ experience in gold exploration within the mining industry in Western
Australia. He has been involved in the exploration and development of the Kundana project for over 30
years.
Executive Director of Rand Mining Limited (ASX: RND)
None
17,251,136 ordinary shares (17,351 held directly and 17,233,785 held indirectly)
None
Gordon Sklenka
Non-Executive Director
B.Comm
Gordon has worked in Chartered Accounting, Stockbroking and Corporate Advisory in Perth, Sydney
and Toronto and has in excess of 25 years’ experience in corporate finance in the resources and
technology industries predominantly focusing on capital raisings, initial public offerings ('IPOs'),
acquisitions and project finance.
Non-Executive Director of Rand Mining Limited (ASX: RND)
None
None
None
Lyndall Vaughan
Non-Executive Director (appointed 14 August 2023)
Lyndall has a Bachelor of Business (Major in Accounting) and is a Certified Practising Accountant. She
has worked for both Rand Mining Limited and Tribune Resources Ltd for over 19 years and is currently
Finance Manager of both.
Non-Executive Director of Rand Mining Limited (ASX: RND)
None
None
400,000 options over ordinary shares
20
Tribune Resources Limited
Directors' report
30 June 2023
'Other current directorships' quoted above are current directorships for listed entities only and excludes directorships in all other types of entities,
unless otherwise stated.
'Former directorships (in the last 3 years)' quoted above are directorships held in the last 3 years for listed entities only and excludes directorships
in all other types of entities, unless otherwise stated.
Company secretaries
Details of Mr Otakar Demis as company secretary can be found in the ‘Information of directors’ section above.
Stephen Buckley (GAICD) is joint company secretary. Stephen has 37 years’ experience in financial markets having worked in both Australia and New
Zealand. He is the Managing Director of Company Secretary Solutions Pty Ltd, a company specialising in providing company secretarial, corporate
governance and corporate advisory services.
Meetings of directors
The number of meetings of the Company's Board of Directors ('the Board') held during the year ended 30 June 2023, and the number of meetings
attended by each director were:
O Demis
A Billis
G Sklenka
Attended
Full Board
Held
2
2
2
2
2
2
Held: represents the number of meetings held during the time the director held office.
The function of the Nomination and Remuneration Committee was undertaken by the Full Board.
Remuneration report (audited)
The remuneration report, which has been audited, outlines the director and key management personnel remuneration arrangements for the Group
and the Company, in accordance with the requirements of the Corporations Act 2001 and its Regulations.
Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the entity,
directly or indirectly, including all directors.
The remuneration report is set out under the following main headings:
●
●
●
●
●
●
Principles used to determine the nature and amount of remuneration
Details of remuneration
Service agreements
Share-based compensation
Additional information
Additional disclosures relating to key management personnel
Principles used to determine the nature and amount of remuneration
The objective of the Group and Company's executive reward framework is to ensure reward for performance is competitive and appropriate for the
results delivered. The framework aligns executive reward with the achievement of strategic objectives and the creation of value for shareholders,
and conforms with the market best practice for delivery of reward. The Board of Directors ('the Board') ensures that executive reward satisfies the
following key criteria for good reward governance practices:
●
●
●
●
competitiveness and reasonableness;
acceptability to shareholders;
performance linkage / alignment of executive compensation; and
transparency.
The Board is responsible for determining and reviewing remuneration arrangements for its directors and executives. The performance of the Group
and Company depends on the quality of its directors and executives. The remuneration philosophy is to attract, motivate and retain high
performance and high quality personnel.
The Board has structured an executive remuneration framework that is market competitive and complementary to the reward strategy of the Group
and Company.
The reward framework is designed to align executive reward to shareholders' interests. The Board has considered that it should seek to enhance
shareholders' interests by:
●
●
having economic profit as a core component of plan design; and
attracting and retaining high calibre executives.
21
Tribune Resources Limited
Directors' report
30 June 2023
Additionally, the reward framework should seek to enhance executives' interests by:
●
●
●
rewarding capability and experience;
reflecting competitive reward for contribution to growth in shareholder wealth; and
providing a clear structure for earning rewards.
In accordance with best practice corporate governance, the structure of non-executive directors and executive directors remuneration are separate.
Non-executive directors' remuneration
Fees and payments to non-executive directors reflect the demands which are made on, and the responsibilities of, the directors. Non-executive
directors' fees and payments are reviewed annually by the Board. The Board may seek the advice of independent remuneration consultants to
ensure non-executive directors' fees and payments are appropriate and in line with the market (refer ‘use of remuneration consultants’ below).
There are no termination or retirement benefits for non-executive directors other than statutory superannuation.
ASX listing rules requires that the aggregate non-executive directors remuneration shall be determined periodically by a general meeting. The most
recent determination was at the Annual General Meeting held on 30 November 2005, where the shareholders approved an aggregate remuneration
of $320,000 for Tribune Resources Limited and Rand Mining Limited.
Executive remuneration
The Group and Company aims to reward executives with a level and mix of remuneration based on their position and responsibility, which is both
fixed and variable.
The executive remuneration and reward framework has four components:
●
●
●
●
base pay and non-monetary benefits;
short-term performance incentives;
long-term incentives; and
other remuneration such as superannuation and long service leave.
The combination of these comprises the executive's total remuneration.
Fixed remuneration, consisting of base salary, superannuation and non-monetary benefits, are reviewed annually by the Board, based on individual
and business unit performance, the overall performance of the Group and comparable market remunerations.
Executives can receive their fixed remuneration in the form of cash or other fringe benefits (for example motor vehicle benefits) where it does not
create any additional costs to the Group and adds additional value for the executive.
The short-term incentives ('STI') program is designed to align the targets of the business units with the targets of those executives in charge of
meeting those targets. STI payments are granted to executives based on specific annual targets and key performance indicators ('KPI') being
achieved. KPI’s include profit contribution, customer satisfaction, leadership contribution and product management.
The long-term incentives ('LTI') currently consists of long service leave.
Group performance and link to remuneration
The directors' remuneration levels are not directly dependent upon the Group and Company's performance or any other performance conditions.
However, practically, whether shareholders vote for or against an increase in the aggregate director remuneration will depend upon, amongst other
things, how the Group and Company have performed.
Use of remuneration consultants
During the financial year ended 30 June 2023, the Company did not engage remuneration consultants, to review its existing remuneration policies
and provide recommendations on how to improve both the STI and LTI program.
Voting and comments made at the Company's 2022 Annual General Meeting ('AGM')
At the last AGM 99.99% of the shareholders voted to adopt the remuneration report for the year ended 30 June 2022. The Company did not receive
any specific feedback at the AGM regarding its remuneration practices.
Details of remuneration
The key management personnel of the Group consisted of the following directors of Tribune Resources Limited:
●
●
●
Otakar Demis - Non-Executive Chairman
Anthony Billis - Executive Director, Managing Director and Chief Executive Officer
Gordon Sklenka - Non-Executive Director
Amounts of remuneration
Details of the remuneration of the directors and other key management personnel (defined as those who have the authority and responsibility for
planning, directing and controlling the major activities of the Group) of Tribune Resources Limited are set out in the following tables.
22
Tribune Resources Limited
Directors' report
30 June 2023
2023
Tribune Resources Limited
Non-Executive Directors:
O Demis
G Sklenka
Executive Directors:
A Billis*
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-based
payments
Cash salary
and fees
$
Non-
Bonus monetary*
$
$
Super-
annuation
$
Leave
benefits
$
Equity-
settled
$
40,000
30,000
95,214
165,214
-
-
-
-
-
-
4,200
-
57,842
57,842
9,998
14,198
-
-
-
-
-
-
-
-
*
Includes expense benefits plus applicable fringe benefits tax payable on benefits
Rand Mining Limited
Non-Executive Directors:
O Demis
G Sklenka
Executive Directors:
A Billis
2022
Tribune Resources Limited
Non-Executive Directors:
O Demis
G Sklenka
Executive Directors:
A Billis*
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-based
payments
Cash salary
and fees
$
Bonus
$
Non-
monetary
$
Super-
annuation
$
Leave
benefits
$
Equity-
settled
$
40,000
30,000
95,214
165,214
-
-
-
-
-
-
-
-
4,200
-
9,997
14,197
-
-
-
-
-
-
-
-
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-based
payments
Cash salary
and fees
$
Non-
Bonus monetary*
$
$
Super-
annuation
$
Leave
benefits
$
Equity-
settled
$
40,000
30,000
91,688
161,688
-
-
-
-
-
-
4,000
-
4,878
4,878
9,168
13,168
-
-
-
-
-
-
-
-
*
Includes expense benefits plus applicable fringe benefits tax payable on benefits
Total
$
44,200
30,000
163,054
237,254
Total
$
44,200
30,000
105,211
179,411
Total
$
44,000
30,000
105,734
179,734
23
Tribune Resources Limited
Directors' report
30 June 2023
Rand Mining Limited
Non-Executive Directors:
O Demis
G Sklenka
Executive Directors:
A Billis
Short-term benefits
Post-
employment
benefits
Long-term
benefits
Share-based
payments
Cash salary
and fees
$
Bonus
$
Non-
monetary
$
Super-
annuation
$
Leave
benefits
$
Equity-
settled
$
Total
$
40,000
30,000
91,687
161,687
-
-
-
-
-
-
-
-
4,000
-
9,169
13,169
-
-
-
-
-
-
-
-
44,000
30,000
100,856
174,856
The proportion of remuneration linked to performance and the fixed proportion are as follows:
Name
Non-Executive Directors:
O Demis
G Sklenka
Executive Directors:
A Billis
Fixed remuneration
2022
2023
2023
At risk - STI
2022
2023
At risk - LTI
2022
100%
100%
100%
100%
100%
100%
-
-
-
-
-
-
-
-
-
-
-
-
Service agreements
Remuneration and other terms of employment for key management personnel are formalised in service agreements. Details of these agreements
are as follows:
Name:
Title:
Term of agreement:
Details:
Anthony Billis
Executive Director, Managing Director and Chief Executive Officer
Ongoing
Tribune's salary package includes base salary, superannuation and fringe benefits up to $165,000 per
annum. Rand's salary package includes base salary, superannuation and fringe benefits up to $165,000
per annum. The Group total is $330,000 per annum.
Key management personnel have no entitlement to termination payments in the event of removal for misconduct. There is no provision for any
other termination payments.
Share-based compensation
Issue of shares
There were no shares issued to directors and other key management personnel as part of compensation during the year ended 30 June 2023.
Options
There were no options over ordinary shares issued to directors and other key management personnel as part of compensation that were outstanding
as at 30 June 2023.
There were no options over ordinary shares granted to or vested by directors and other key management personnel as part of compensation during
the year ended 30 June 2023.
24
Tribune Resources Limited
Directors' report
30 June 2023
Additional information
The earnings of the Group for the five years to 30 June 2023 are summarised below:
Sales revenue
EBITDA
EBIT
Profit after income tax
2023
$
2022
$
2021
$
2020
$
2019
$
92,046,025
20,629,456
9,126,822
4,902,590
124,064,015
26,873,283
13,745,691
7,475,592
177,568,700
110,865,948
93,002,792
58,843,526
179,367,328
94,031,327
75,107,334
47,353,849
364,248,049
155,490,176
135,000,505
72,264,057
The factors that are considered to affect total shareholders return ('TSR') are summarised below:
Share price at financial year end ($)
Total dividends declared (cents per share)
Basic earnings per share (cents per share)
Diluted earnings per share (cents per share)
Additional disclosures relating to key management personnel
2023
3.20
30.00
1.00
1.00
2022
3.85
30.00
3.43
3.43
2021
4.60
30.00
96.72
96.72
2020
7.29
30.00
87.19
87.19
2019
5.45
505.00
65.23
65.23
Shareholding
The number of shares in the Company held during the financial year by each director and other members of key management personnel of the
Group, including their personally related parties, is set out below:
Ordinary shares
O Demis
A Billis
G Sklenka
Balance at
the start of
the year
Received
as part of
remuneration
12,000
17,151,136
-
17,163,136
-
-
-
-
Disposals/
other
-
-
-
-
Balance at
the end of
the year
12,000
17,251,136
-
17,263,136
Additions
-
100,000
-
100,000
Option holding
There were no options over ordinary shares in the Company held during the financial year by any director and other members of key management
personnel of the Group, including their personally related parties.
Loans to key management personnel and their related parties
There were no loans to or from key management personnel and their related parties at the current reporting date.
Other transactions with key management personnel and their related parties
The following transactions occurred with related parties:
2023
$
12,334
148,259
397,487
Payment for other expenses:
Payment of exploration related expenses for Lake Grace Exploration Pty Ltd *
Payment of rent, rates and levies to Melville Parade Pty Ltd *
Reimbursement of operating expenses to Iron Resources Liberia Ltd *
*
An entity in which Anthony Billis is a director
All transactions were made on normal commercial terms and conditions and at market rates.
This concludes the remuneration report, which has been audited.
25
Tribune Resources Limited
Directors' report
30 June 2023
Shares under option
Unissued ordinary shares of Tribune Resources Limited under option at the date of this report are as follows:
Grant date
31 May 2022
Expiry date
31 May 2025
Exercise
price
Number
under option
$6.00
1,000,000
No person entitled to exercise the options had or has any right by virtue of the option to participate in any share issue of the Company or of any
other body corporate.
Shares issued on the exercise of options
There were no ordinary shares of Tribune Resources Limited issued on the exercise of options during the year ended 30 June 2023 and up to the
date of this report.
Indemnity and insurance of officers
The Company has indemnified the directors and executives of the Company for costs incurred, in their capacity as a director or executive, for which
they may be held personally liable, except where there is a lack of good faith.
During the financial year, the Company paid a premium in respect of a contract to insure the directors and executives of the Company against
liabilities that may arise from an officers’ position with the exception of insolvency, conduct involving a wilful breach in relation to the Company, or
a contravention of section 182 or 183 of the Corporations Act 2001, an entity that is involved in any joint venture or, partnership or enterprise
carried on in common with the Company, outside directorships, any outside entity or non-profit outside entity or any vehicle or entity established
to conduct such joint venture partnership or enterprise. The contract of insurance prohibits disclosure of the nature of liability and the amount of
the premium.
Indemnity and insurance of auditor
The Company has not, during or since the end of the financial year, indemnified or agreed to indemnify the auditor of the Company or any related
entity against a liability incurred by the auditor.
During the financial year, the Company has not paid a premium in respect of a contract to insure the auditor of the Company or any related entity.
Proceedings on behalf of the Company
No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the Company, or to
intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or part of
those proceedings.
Non-audit services
Details of the amounts paid or payable to the auditor for non-audit services provided during the financial year by the auditor are outlined in note
28 to the financial statements.
The directors are satisfied that the provision of non-audit services during the financial year, by the auditor (or by another person or firm on the
auditor's behalf), is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001.
The directors are of the opinion that the services as disclosed in note 28 to the financial statements do not compromise the external auditor's
independence requirements of the Corporations Act 2001 for the following reasons:
●
●
all non-audit services have been reviewed and approved to ensure that they do not impact the integrity and objectivity of the auditor; and
none of the services undermine the general principles relating to auditor independence as set out in APES 110 Code of Ethics for Professional
Accountants (including Independence Standards) issued by the Accounting Professional and Ethical Standards Board, including reviewing or
auditing the auditor's own work, acting in a management or decision-making capacity for the Company, acting as advocate for the Company
or jointly sharing economic risks and rewards.
Officers of the Company who are former partners of RSM Australia Partners
There are no officers of the Company who are former partners of RSM Australia Partners.
Auditor's independence declaration
A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this
directors' report.
26
Tribune Resources Limited
Directors' report
30 June 2023
This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.
On behalf of the directors
___________________________
Anthony Billis
Director
29 September 2023
Perth
27
RSM Australia Partners
Level 32, Exchange Tower
2 The Esplanade Perth WA 6000
GPO Box R1253 Perth WA 6844
T +61 (0) 8 9261 9100
F +61 (0) 8 9261 9111
www.rsm.com.au
AUDITOR’S INDEPENDENCE DECLARATION
As lead auditor for the audit of the financial report of Tribune Resources Limited for the year ended 30 June 2023,
I declare that, to the best of my knowledge and belief, there have been no contraventions of:
(i)
(ii)
the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and
any applicable code of professional conduct in relation to the audit.
RSM AUSTRALIA PARTNERS
Perth, WA
Dated: 29 September 2023
AIK KONG TING
Partner
THE POWER OF BEING UNDERSTOOD
AUDIT | TAX | CONSULTING
RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the members of the RSM network. Each member of the RSM network is an independent
accounting and consulting firm which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction.
RSM Australia Partners ABN 36 965 185 036
Liability limited by a scheme approved under Professional Standards Legislation
Tribune Resources Limited
Consolidated statement of profit or loss and other comprehensive income
For the year ended 30 June 2023
Revenue
Other income
Interest revenue calculated using the effective interest method
Expenses
Changes in inventories
Employee benefits expense
Management fees
Depreciation and amortisation expense
Impairment of assets
Write-off of assets
Administration expenses
Mining expenses
Processing expenses
Royalty expenses
Foreign currency losses
Other expenses
Finance costs
Profit before income tax expense
Income tax expense
Profit after income tax expense for the year
Other comprehensive income
Items that may be reclassified subsequently to profit or loss
Foreign currency translation
Other comprehensive income for the year, net of tax
Total comprehensive income for the year
Profit for the year is attributable to:
Non-controlling interest
Owners of Tribune Resources Limited
Total comprehensive income for the year is attributable to:
Non-controlling interest
Owners of Tribune Resources Limited
Basic earnings per share
Diluted earnings per share
Note
2023
$
2022
$
5
6
7
7
16
7
7
8
92,108,169
124,064,629
183,124
191,628
80,544
17,942
(1,393,198)
(2,161,606)
(1,765,385)
(11,502,634)
(2,522,423)
(9,812,886)
(4,899,850)
(37,329,301)
(9,300,911)
(2,059,380)
(106,887)
(310,010)
(22,367)
(30,596,314)
(2,073,111)
(1,735,891)
(13,127,592)
(7,168,238)
-
(4,413,239)
(34,295,281)
(14,496,394)
(2,267,383)
(187,348)
(38,691)
(142,634)
9,296,083
13,620,999
(4,393,493)
(6,145,407)
4,902,590
7,475,592
(535,536)
(655,654)
(535,536)
(655,654)
4,367,054
6,819,938
4,379,766
522,824
5,677,919
1,797,673
22
4,902,590
7,475,592
4,379,766
(12,712)
5,677,919
1,142,019
4,367,054
6,819,938
Cents
1.00
1.00
Cents
3.43
3.43
37
37
The above consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes
29
Tribune Resources Limited
Consolidated statement of financial position
As at 30 June 2023
Assets
Current assets
Cash and cash equivalents
Trade and other receivables
Inventories
Income tax refund due
Total current assets
Non-current assets
Financial assets at fair value through profit or loss
Property, plant and equipment
Right-of-use assets
Exploration and evaluation
Mine development
Deferred tax asset
Total non-current assets
Total assets
Liabilities
Current liabilities
Trade and other payables
Lease liabilities
Provisions
Total current liabilities
Non-current liabilities
Lease liabilities
Deferred tax liability
Provisions
Total non-current liabilities
Total liabilities
Net assets
Equity
Contributed equity
Reserves
Retained profits
Equity attributable to the owners of Tribune Resources Limited
Non-controlling interest
Total equity
Note
2023
$
2022
$
9
10
11
8
12
13
14
15
16
8
17
18
19
18
8
19
20
21
22
23
7,095,040
868,453
200,891,182
6,549,172
215,403,847
6,840,897
1,050,390
202,317,174
8,804,914
219,013,375
441,549
8,452,360
43,885
9,309,795
71,635,476
1,060,618
90,943,683
751,559
7,354,169
3,559,611
8,791,986
80,168,923
10,453,060
111,079,308
306,347,530
330,092,683
7,378,832
45,928
380,299
7,805,059
9,718,686
819,640
356,973
10,895,299
-
6,589,959
1,960,368
8,550,327
45,928
18,403,763
1,834,582
20,284,273
16,355,386
31,179,572
289,992,144
298,913,111
58,200,026
(1,594,995)
181,344,590
237,949,621
52,042,523
58,200,026
(1,294,973)
191,315,381
248,220,434
50,692,677
289,992,144
298,913,111
The above consolidated statement of financial position should be read in conjunction with the accompanying notes
30
Tribune Resources Limited
Consolidated statement of changes in equity
For the year ended 30 June 2023
Contributed
equity
$
Reserves
$
Retained Non-controlling
interest
$
profits
$
Total equity
$
Balance at 1 July 2021
58,200,026
(653,291)
200,011,323
48,044,678
305,602,736
Profit after income tax expense for the year
Other comprehensive income for the year, net of tax
Total comprehensive income for the year
Transactions with owners in their capacity as
owners:
Share-based payments (note 38)
Dividends
-
-
-
-
-
-
(655,654)
1,797,673
-
5,677,919
-
7,475,592
(655,654)
(655,654)
1,797,673
5,677,919
6,819,938
13,972
-
-
(10,493,615)
-
(3,029,920)
13,972
(13,523,535)
Balance at 30 June 2022
58,200,026
(1,294,973)
191,315,381
50,692,677
298,913,111
Contributed
equity
$
Reserves
$
Retained Non-controlling
interest
$
profits
$
Total equity
$
Balance at 1 July 2022
58,200,026
(1,294,973)
191,315,381
50,692,677
298,913,111
Profit after income tax expense for the year
Other comprehensive income for the year, net of tax
Total comprehensive income for the year
Transactions with owners in their capacity as
owners:
Share-based payments (note 38)
Dividends
-
-
-
-
-
-
(535,536)
522,824
-
4,379,766
-
4,902,590
(535,536)
(535,536)
522,824
4,379,766
4,367,054
235,514
-
-
(10,493,615)
-
(3,029,920)
235,514
(13,523,535)
Balance at 30 June 2023
58,200,026
(1,594,995)
181,344,590
52,042,523
289,992,144
The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes
31
Tribune Resources Limited
Consolidated statement of cash flows
For the year ended 30 June 2023
Cash flows from operating activities
Receipts from customers
Payments to suppliers and employees
Interest received
Interest and other finance costs paid
Income taxes paid
Net cash from operating activities
Cash flows from investing activities
Payments for property, plant and equipment
Payments for exploration and evaluation
Payments for mine development
Proceeds from disposal of property, plant and equipment
Net cash used in investing activities
Cash flows from financing activities
Net dividends paid
Repayment of lease liabilities
Net cash used in financing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at the beginning of the financial year
Effects of exchange rate changes on cash and cash equivalents
Note
2023
$
2022
$
92,079,774
(59,386,835)
189,441
(18,667)
(4,559,113)
124,064,015
(59,556,303)
16,266
(135,522)
(26,573,034)
36
28,304,600
37,815,422
(1,608,654)
(3,045,461)
(9,301,652)
163,170
(1,812,954)
(10,606,817)
(6,955,061)
136,041
(13,792,597)
(19,238,791)
(13,523,535)
(730,920)
(13,523,535)
(2,364,448)
(14,254,455)
(15,887,983)
257,548
6,840,897
(3,405)
2,688,648
4,162,752
(10,503)
Cash and cash equivalents at the end of the financial year
9
7,095,040
6,840,897
The above consolidated statement of cash flows should be read in conjunction with the accompanying notes
32
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 1. General information
The financial statements cover Tribune Resources Limited as a Group consisting of Tribune Resources Limited ('Company', 'parent entity' or 'Tribune')
and the entities it controlled at the end of, or during, the year (referred to in these financial statements as the 'Group'). The financial statements
are presented in Australian dollars, which is Tribune Resources Limited's functional and presentation currency.
Tribune Resources Limited is a listed public company limited by shares, incorporated and domiciled in Australia. Its registered office and principal
place of business is:
Suite G1, 49 Melville Parade
South Perth WA 6151
A description of the nature of the Group's operations and its principal activities are included in the directors' report, which is not part of the financial
statements.
The financial statements were authorised for issue, in accordance with a resolution of directors, on 29 September 2023. The directors have the
power to amend and reissue the financial statements.
Note 2. Significant accounting policies
The principal accounting policies adopted in the preparation of the financial statements are set out below. These policies have been consistently
applied to all the years presented, unless otherwise stated.
New or amended Accounting Standards and Interpretations adopted
The Group has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board
('AASB') that are mandatory for the current reporting period. The adoption of these Accounting Standards and Interpretations did not have any
significant impact on the financial performance or position of the Group during the financial year ended 30 June 2023.
Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been early adopted.
Basis of preparation
These general purpose financial statements have been prepared in accordance with Australian Accounting Standards and Interpretations issued by
the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for-profit oriented entities. These financial
statements also comply with International Financial Reporting Standards as issued by the International Accounting Standards Board ('IASB').
Historical cost convention
The financial statements have been prepared under the historical cost convention, except for, where applicable, the revaluation of financial assets
at fair value through profit or loss and certain classes of property, plant and equipment.
Critical accounting estimates
The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its
judgement in the process of applying the Group's accounting policies. The areas involving a higher degree of judgement or complexity, or areas
where assumptions and estimates are significant to the financial statements, are disclosed in note 3.
Parent entity information
In accordance with the Corporations Act 2001, these financial statements present the results of the Group only. Supplementary information about
the parent entity is disclosed in note 32.
Principles of consolidation
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Tribune as at 30 June 2023 and the results of all
subsidiaries for the year then ended.
Subsidiaries are all those entities over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to,
variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity.
Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are de-consolidated from the date that control
ceases.
Intercompany transactions, balances and unrealised gains on transactions between entities in the Group are eliminated. Unrealised losses are also
eliminated unless the transaction provides evidence of the impairment of the asset transferred. Accounting policies of subsidiaries have been
changed where necessary to ensure consistency with the policies adopted by the Group.
The acquisition of subsidiaries is accounted for using the acquisition method of accounting. A change in ownership interest, without the loss of
control, is accounted for as an equity transaction, where the difference between the consideration transferred and the book value of the share of
the non-controlling interest acquired is recognised directly in equity attributable to the parent.
33
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
Non-controlling interest in the results and equity of subsidiaries are shown separately in the statement of profit or loss and other comprehensive
income, statement of financial position and statement of changes in equity of the Group. Losses incurred by the Group are attributed to the non-
controlling interest in full, even if that results in a deficit balance.
Where the Group loses control over a subsidiary, it derecognises the assets including goodwill, liabilities and non-controlling interest in the subsidiary
together with any cumulative translation differences recognised in equity. The Group recognises the fair value of the consideration received and
the fair value of any investment retained together with any gain or loss in profit or loss.
Operating segments
Operating segments are presented using the 'management approach', where the information presented is on the same basis as the internal reports
provided to the Chief Operating Decision Makers ('CODM'). The CODM is responsible for the allocation of resources to operating segments and
assessing their performance.
Foreign currency translation
The financial statements are presented in Australian dollars, which is Tribune Resources Limited's functional and presentation currency.
Foreign currency transactions
Foreign currency transactions are translated into the Group's functional currency using the exchange rates prevailing at the dates of the transactions.
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at financial year-end exchange rates
of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss.
Foreign operations
The assets and liabilities of foreign operations are translated into Australian dollars using the exchange rates at the reporting date. The revenues
and expenses of foreign operations are translated into Australian dollars using the average exchange rates, which approximate the rates at the dates
of the transactions, for the period. All resulting foreign exchange differences are recognised in other comprehensive income through the foreign
currency reserve in equity.
The foreign currency reserve is recognised in profit or loss when the foreign operation or net investment is disposed of.
Revenue recognition
The Group recognises revenue as follows:
Revenue from contracts with customers
Revenue is recognised at an amount that reflects the consideration to which the Group is expected to be entitled in exchange for transferring goods
or services to a customer. For each contract with a customer, the Group: identifies the contract with a customer; identifies the performance
obligations in the contract; determines the transaction price which takes into account estimates of variable consideration and the time value of
money; allocates the transaction price to the separate performance obligations on the basis of the relative stand-alone selling price of each distinct
good or service to be delivered; and recognises revenue when or as each performance obligation is satisfied in a manner that depicts the transfer
to the customer of the goods or services promised.
Variable consideration within the transaction price, if any, reflects concessions provided to the customer such as discounts, rebates and refunds,
any potential bonuses receivable from the customer and any other contingent events. Such estimates are determined using either the 'expected
value' or 'most likely amount' method. The measurement of variable consideration is subject to a constraining principle whereby revenue will only
be recognised to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue recognised will not occur. The
measurement constraint continues until the uncertainty associated with the variable consideration is subsequently resolved. Amounts received that
are subject to the constraining principle are recognised as a refund liability.
Sale of gold
Sale of gold revenue is recognised at the point of sale, which is where the customer has taken delivery of the goods, the risks and rewards are
transferred to the customer and there is a valid sales contract.
Interest
Interest revenue is recognised as interest accrues using the effective interest method.
Other revenue
Other revenue is recognised when it is received or when the right to receive payment is established.
Income tax
The income tax expense or benefit for the period is the tax payable on that period's taxable income based on the applicable income tax rate for
each jurisdiction, adjusted by the changes in deferred tax assets and liabilities attributable to temporary differences, unused tax losses and the
adjustment recognised for prior periods, where applicable.
34
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
Deferred tax assets and liabilities are recognised for temporary differences at the tax rates expected to be applied when the assets are recovered
or liabilities are settled, based on those tax rates that are enacted or substantively enacted, except for:
●
When the deferred income tax asset or liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not
a business combination and that, at the time of the transaction, affects neither the accounting nor taxable profits; or
When the taxable temporary difference is associated with interests in subsidiaries, associates or joint ventures, and the timing of the reversal
can be controlled and it is probable that the temporary difference will not reverse in the foreseeable future.
●
Deferred tax assets are recognised for deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will
be available to utilise those temporary differences and losses.
The carrying amount of recognised and unrecognised deferred tax assets are reviewed at each reporting date. Deferred tax assets recognised are
reduced to the extent that it is no longer probable that future taxable profits will be available for the carrying amount to be recovered. Previously
unrecognised deferred tax assets are recognised to the extent that it is probable that there are future taxable profits available to recover the asset.
Deferred tax assets and liabilities are offset only where there is a legally enforceable right to offset current tax assets against current tax liabilities
and deferred tax assets against deferred tax liabilities; and they relate to the same taxable authority on either the same taxable entity or different
taxable entities which intend to settle simultaneously.
Current and non-current classification
Assets and liabilities are presented in the statement of financial position based on current and non-current classification.
An asset is classified as current when: it is either expected to be realised or intended to be sold or consumed in the Group's normal operating cycle;
it is held primarily for the purpose of trading; it is expected to be realised within 12 months after the reporting period; or the asset is cash or cash
equivalent unless restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period. All other assets are
classified as non-current.
A liability is classified as current when: it is either expected to be settled in the Group's normal operating cycle; it is held primarily for the purpose
of trading; it is due to be settled within 12 months after the reporting period; or there is no unconditional right to defer the settlement of the liability
for at least 12 months after the reporting period. All other liabilities are classified as non-current.
Deferred tax assets and liabilities are always classified as non-current.
Cash and cash equivalents
Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short-term, highly liquid investments with
original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of
changes in value.
Other receivables are recognised at amortised cost, less any allowance for expected credit losses.
Inventories
Gold bullion, gold in transit and ore stockpiles are physically measured or estimated and valued at the lower of cost and net realisable value. Net
realisable value is the estimated future sales price of the product the Group expects to realise when the product is processed and sold, less costs to
complete production. The costs of producing silver are not separately identifiable and are allocated between the products on a rational and
consistent basis based on the relative sales value at the completion of production.
Cost is determined using the average method and comprises direct purchase costs and an appropriate portion of fixed and variable costs including
depreciation and amortisation, incurred in converting materials into finished goods.
Consumables are valued at the lower of cost or net realisable value. Any provision for obsolescence is determined by reference to specific items of
stock. A regular review is undertaken to determine the extent of any provision or obsolescence.
Associates
Associates are entities over which the Group has significant influence but not control or joint control. Investments in associates are accounted for
using the equity method. Under the equity method, the share of the profits or losses of the associate is recognised in profit or loss and the share of
the movements in equity is recognised in other comprehensive income. Investments in associates are carried in the statement of financial position
at cost plus post-acquisition changes in the Group's share of net assets of the associate. Goodwill relating to the associate is included in the carrying
amount of the investment and is neither amortised nor individually tested for impairment. Dividends received or receivable from associates reduce
the carrying amount of the investment.
When the Group's share of losses in an associate equals or exceeds its interest in the associate, including any unsecured long-term receivables, the
Group does not recognise further losses, unless it has incurred obligations or made payments on behalf of the associate.
The Group discontinues the use of the equity method upon the loss of significant influence over the associate and recognises any retained
investment at its fair value. Any difference between the associate's carrying amount, fair value of the retained investment and proceeds from
disposal is recognised in profit or loss.
35
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
Other entities
Interest in entities that do not meet the classification as a joint venture or joint operations but has similar characteristics to a joint operation are
recognised by the Group by bringing to account its share of the entity’s assets, liabilities, revenues and expenses under the relevant accounting
standards for those assets, liabilities, revenues and expenses.
Investments and other financial assets
Investments and other financial assets are initially measured at fair value. Transaction costs are included as part of the initial measurement, except
for financial assets at fair value through profit or loss. Such assets are subsequently measured at either amortised cost or fair value depending on
their classification. Classification is determined based on both the business model within which such assets are held and the contractual cash flow
characteristics of the financial asset unless an accounting mismatch is being avoided.
Financial assets are derecognised when the rights to receive cash flows have expired or have been transferred and the Group has transferred
substantially all the risks and rewards of ownership. When there is no reasonable expectation of recovering part or all of a financial asset, its carrying
value is written off.
Financial assets at fair value through profit or loss ('FVTPL')
Listed shares held by the Group that are traded in an active market are measured at FVTPL.
The fair value of financial assets with standard terms and conditions and traded on active liquid markets are determined with reference to quoted
market prices. Gains and losses arising from changes in fair value are recognised in profit or loss. Dividends are recognised in profit or loss when the
Group’s right to receive the dividends is established.
Financial assets at amortised cost
A financial asset is measured at amortised cost only if both of the following conditions are met: (i) it is held within a business model whose objective
is to hold assets in order to collect contractual cash flows; and (ii) the contractual terms of the financial asset represent contractual cash flows that
are solely payments of principal and interest.
Impairment of financial assets
The Group recognises a loss allowance for expected credit losses on financial assets which are measured at amortised cost. The measurement of
the loss allowance depends upon the Group's assessment at the end of each reporting period as to whether the financial instrument's credit risk
has increased significantly since initial recognition, based on reasonable and supportable information that is available, without undue cost or effort
to obtain.
Where there has not been a significant increase in exposure to credit risk since initial recognition, a 12-month expected credit loss allowance is
estimated. This represents a portion of the asset's lifetime expected credit losses that is attributable to a default event that is possible within the
next 12 months. Where a financial asset has become credit impaired or where it is determined that credit risk has increased significantly, the loss
allowance is based on the asset's lifetime expected credit losses. The amount of expected credit loss recognised is measured on the basis of the
probability weighted present value of anticipated cash shortfalls over the life of the instrument discounted at the original effective interest rate.
The loss allowance reduces the asset's carrying value with a corresponding expense through profit or loss.
Property, plant and equipment
Land and buildings are shown at fair value, based on periodic valuations conducted by external independent valuers at least every three years, less
subsequent depreciation and impairment for buildings. The valuations are undertaken more frequently if there is a material change in the fair value
relative to the carrying amount. Any accumulated depreciation at the date of revaluation is eliminated against the gross carrying amount of the
asset and the net amount is restated to the revalued amount of the asset. Increases in the carrying amounts arising on revaluation of land and
buildings are credited to the revaluation surplus reserve in equity. Any revaluation decrements are initially taken to the revaluation surplus reserve
to the extent of any previous revaluation surplus of the same asset. Thereafter the decrements are taken to profit or loss.
Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly
attributable to the acquisition of the items.
Depreciation is calculated on a straight-line basis to write off the net cost of each item of property, plant and equipment (excluding land) over their
expected useful lives as follows:
Buildings
Plant and equipment
Motor vehicles
Mining plant and equipment
11 years
3 - 5 years
8 years
3 - 10 years
The residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each reporting date.
An item of property, plant and equipment is derecognised upon disposal or when there is no future economic benefit to the Group. Gains and losses
between the carrying amount and the disposal proceeds are taken to profit or loss. Any revaluation surplus reserve relating to the item disposed of
is transferred directly to retained profits.
36
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
Mining plant and equipment and construction work in progress
Mining plant and equipment and construction work in progress is carried at cost which includes acquisition, transportation, installation, and
commissioning costs. Costs also include present value of decommissioning costs and finance charges capitalised during the construction period
where such expenditure is financed by borrowings. Costs are not depreciated until such time as the asset has been completed ready for use.
Subsequent costs are included in the asset’s carrying amount only when it is probable that future economic benefits associated with the item will
flow to the Group, and the cost of the item can be measured reliably. All other repairs and maintenance are charged to profit or loss during the
financial period in which they are incurred.
Right-of-use assets
A right-of-use asset is recognised at the commencement date of a lease. The right-of-use asset is measured at cost, which comprises the initial
amount of the lease liability, adjusted for, as applicable, any lease payments made at or before the commencement date net of any lease incentives
received, any initial direct costs incurred, and, except where included in the cost of inventories, an estimate of costs expected to be incurred for
dismantling and removing the underlying asset, and restoring the site or asset.
Right-of-use assets are depreciated on a straight-line basis over the unexpired period of the lease or the estimated useful life of the asset, whichever
is the shorter. Where the Group expects to obtain ownership of the leased asset at the end of the lease term, the depreciation is over its estimated
useful life. Right-of use assets are subject to impairment or adjusted for any remeasurement of lease liabilities.
The Group has elected not to recognise a right-of-use asset and corresponding lease liability for short-term leases with terms of 12 months or less
and leases of low-value assets. Lease payments on these assets are expensed to profit or loss as incurred.
Intangible assets
Exploration and evaluation expenditure in relation to separate areas of interest for which rights of tenure are current is carried forward as an asset
in the statement of financial position where it is expected that the expenditure will be recovered through the successful development and
exploitation of an area of interest, or by its sale; or exploration activities are continuing in an area and activities have not reached a stage which
permits a reasonable estimate of the existence or otherwise of economically recoverable reserves. Where a project or an area of interest has been
abandoned, the expenditure incurred thereon is written off in the year in which the decision is made.
Exploration and evaluation
Exploration and evaluation expenditures are typically expensed, unless it can be demonstrated that the related expenditures will generate a future
economic benefit, in which case these costs are capitalised.
Examples of common exploration and evaluation activities include, but are not limited to:
Exploration activities which primarily consist of expenditures relating to drilling programs and include, but are not limited to:
●
●
●
Researching and analysing existing exploration data;
Conducting geological mapping studies; and
Exploratory drilling and sampling including:
• Taking core samples for analysis (assay work);
• Sinking exploratory shafts;
• Opening shallow pits; and
• Drilling to determine volume and grade of deposits in an area known to contain mineral resources, or for the purpose of converting mineral
resources into proven and probable reserves.
Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the carrying amount of the asset exceeds
its recoverable amount. Where the carrying amount is assessed as exceeding recoverable amount, the excess is recognised as an impairment
expense in the profit or loss.
Mine development assets
Capitalised mine development costs include expenditures incurred to develop new ore bodies to define further mineralisation in existing ore bodies,
to expand the capacity of a mine and to maintain production. Mining development also includes costs transferred from the exploration and
evaluation phase once production commences in the area of interest.
Amortisation of mine development is computed by the units of production basis over the estimated proved and probable reserves and a
predetermined percentage of the recoverable measured, indicated and inferred resource. The percentage is reviewed annually. Proved and
probable mineral reserves reflect estimated quantities of economically recoverable reserves which can be recovered in the future from known
mineral deposits. These reserves are amortised from the date on which production commences. The amortisation is calculated from recoverable
proven and probable reserves and a predetermined percentage of the recoverable measured, indicated and inferred resource. This percentage is
reviewed annually.
Restoration costs expected to be incurred are provided for as part of the development phase that give rise to the need for restoration.
Impairment of non-financial assets
Non-financial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be
recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.
37
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of the estimated
future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the asset belongs. Assets
that do not have independent cash flows are grouped together to form a cash-generating unit.
Trade and other payables
Trade and other payables represent liabilities for goods and services provided to the Group prior to the end of the financial year and which are
unpaid. Due to their short-term nature they are measured at amortised cost and are not discounted. The amounts are unsecured and are usually
paid within 30 days of recognition.
Lease liabilities
A lease liability is recognised at the commencement date of a lease. The lease liability is initially recognised at the present value of the lease payments
to be made over the term of the lease, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the
Group's incremental borrowing rate. Lease payments comprise of fixed payments less any lease incentives receivable, variable lease payments that
depend on an index or a rate, amounts expected to be paid under residual value guarantees, exercise price of a purchase option when the exercise
of the option is reasonably certain to occur, and any anticipated termination penalties. The variable lease payments that do not depend on an index
or a rate are expensed in the period in which they are incurred.
Lease liabilities are measured at amortised cost using the effective interest method. The carrying amounts are remeasured if there is a change in
the following: future lease payments arising from a change in an index or a rate used; residual guarantee; lease term; certainty of a purchase option
and termination penalties. When a lease liability is remeasured, an adjustment is made to the corresponding right-of use asset, or to profit or loss
if the carrying amount of the right-of-use asset is fully written down.
Provisions
Provisions are recognised when the Group has a present (legal or constructive) obligation as a result of a past event, it is probable the Group will be
required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. The amount recognised as a provision is the
best estimate of the consideration required to settle the present obligation at the reporting date, taking into account the risks and uncertainties
surrounding the obligation. If the time value of money is material, provisions are discounted using a current pre-tax rate specific to the liability. The
increase in the provision resulting from the passage of time is recognised as a finance cost.
Site rehabilitation
Rehabilitation costs include the dismantling and removal of mining plant, equipment and building structures, waste removal and rehabilitation of
the site in accordance with the requirements of the mining permits. Such costs are determined using estimates of future costs, current legal
requirements and technology.
Rehabilitation costs are recognised at present value as a non-current liability. An equivalent amount is capitalised as part of the cost of the asset
when an obligation arises to decommission or restore a site to certain condition after abandonment as a result of bringing the assets to its present
location. The capitalised cost is amortised over the life of the project and the provision is accreted periodically as the discounting of the liability
unwinds. The unwinding of the discount is recorded as a finance cost.
Employee benefits
Short-term employee benefits
Liabilities for wages and salaries, including non-monetary benefits, annual leave and long service leave expected to be settled within 12 months of
the reporting date are recognised in respect of employees' services up to the reporting date and are measured at the amounts expected to be paid
when the liabilities are settled.
Other long-term employee benefits
The liability for annual leave and long service leave not expected to be settled within 12 months of the reporting date is measured as the present
value of expected future payments to be made in respect of services provided by employees up to the reporting date. Consideration is given to
expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using
market yields at the reporting date on high-quality corporate bonds with terms to maturity and currency that match, as closely as possible, the
estimated future cash outflows.
Defined contribution superannuation expense
Contributions to defined contribution superannuation plans are expensed in the period in which they are incurred.
Share-based payments
Equity-settled share-based compensation benefits are provided to employees.
Equity-settled transactions are awards of shares, or options over shares, that are provided to employees in exchange for the rendering of services.
The cost of equity-settled transactions are measured at fair value on grant date. Fair value is independently determined using the Black-Scholes
option pricing model that takes into account the exercise price, the term of the option, the impact of dilution, the share price at grant date and
expected price volatility of the underlying share, the expected dividend yield and the risk free interest rate for the term of the option, together with
non-vesting conditions that do not determine whether the Group receives the services that entitle the employees to receive payment. No account
is taken of any other vesting conditions.
38
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
The cost of equity-settled transactions are recognised as an expense with a corresponding increase in equity over the vesting period. The cumulative
charge to profit or loss is calculated based on the grant date fair value of the award, the best estimate of the number of awards that are likely to
vest and the expired portion of the vesting period. The amount recognised in profit or loss for the period is the cumulative amount calculated at
each reporting date less amounts already recognised in previous periods.
If equity-settled awards are modified, as a minimum an expense is recognised as if the modification has not been made. An additional expense is
recognised, over the remaining vesting period, for any modification that increases the total fair value of the share-based compensation benefit as
at the date of modification.
If the non-vesting condition is within the control of the Group or employee, the failure to satisfy the condition is treated as a cancellation. If the
condition is not within the control of the Group or employee and is not satisfied during the vesting period, any remaining expense for the award is
recognised over the remaining vesting period, unless the award is forfeited.
If equity-settled awards are cancelled, it is treated as if it has vested on the date of cancellation, and any remaining expense is recognised
immediately. If a new replacement award is substituted for the cancelled award, the cancelled and new award is treated as if they were a
modification.
Fair value measurement
When an asset or liability, financial or non-financial, is measured at fair value for recognition or disclosure purposes, the fair value is based on the
price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement
date; and assumes that the transaction will take place either: in the principal market; or in the absence of a principal market, in the most
advantageous market.
Fair value is measured using the assumptions that market participants would use when pricing the asset or liability, assuming they act in their
economic best interests. For non-financial assets, the fair value measurement is based on its highest and best use. Valuation techniques used to
measure fair value are those that are appropriate in the circumstances and which maximise the use of relevant observable inputs and minimise the
use of unobservable inputs.
Assets and liabilities measured at fair value are classified into three levels, using a fair value hierarchy that reflects the significance of the inputs
used in making the measurements. Classifications are reviewed at each reporting date and transfers between levels are determined based on a
reassessment of the lowest level of input that is significant to the fair value measurement.
For recurring and non-recurring fair value measurements, external valuers may be used when internal expertise is either not available or when the
valuation is deemed to be significant. External valuers are selected based on market knowledge and reputation. Where there is a significant change
in fair value of an asset or liability from one period to another, an analysis is undertaken, which includes a verification of the major inputs applied
in the latest valuation and a comparison, where applicable, with external sources of data.
Contributed capital
Ordinary shares are classified as equity.
Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.
Dividends
Dividends are recognised when declared during the financial year and no longer at the discretion of the Company.
Earnings per share
Basic earnings per share
Basic earnings per share is calculated by dividing the profit attributable to the owners of Tribune Resources Limited, excluding any costs of servicing
equity other than ordinary shares, by the weighted average number of ordinary shares outstanding during the financial year, adjusted for bonus
elements in ordinary shares issued during the financial year.
Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the after income tax effect
of interest and other financing costs associated with dilutive potential ordinary shares and the weighted average number of additional ordinary
shares that would have been outstanding assuming conversion of all dilutive potential ordinary shares.
Goods and Services Tax ('GST') and other similar taxes
Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the tax
authority. In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.
Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to,
the tax authority is included in other receivables or other payables in the statement of financial position.
39
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 2. Significant accounting policies (continued)
Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable
from, or payable to the tax authority, are presented as operating cash flows.
Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the tax authority.
New Accounting Standards and Interpretations not yet mandatory or early adopted
Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory, have not been early
adopted by the Group for the annual reporting year ended 30 June 2023.
The directors have reviewed all new Standards and Interpretations that have been issued but are not yet effective and have determined that there
is no impact, material or otherwise, of the new and revised Standards and Interpretations on the Group and, therefore, no change is necessary to
Group accounting policies. These accounting policies are consistent with Australian Accounting Standards and with International Financial Reporting
Standards.
Note 3. Critical accounting judgements, estimates and assumptions
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported
amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, contingent
liabilities, revenue and expenses. Management bases its judgements, estimates and assumptions on historical experience and on other various
factors, including expectations of future events, management believes to be reasonable under the circumstances. The resulting accounting
judgements and estimates will seldom equal the related actual results. The judgements, estimates and assumptions that have a significant risk of
causing a material adjustment to the carrying amounts of assets and liabilities (refer to the respective notes) within the next financial year are
discussed below.
Inventories
Ore stockpiles are measured by estimating the number of tonnes added and removed from the stockpile, the number of contained gold ounces
based on assay data, and the estimated processing plant metal recovery percentage. Stockpile tonnages are verified by periodic surveys.
Exploration and evaluation costs
Exploration and evaluation costs have been capitalised on the basis that the Group will commence commercial production in the future, from which
time the costs will be amortised in proportion to the depletion of the mineral resources. Key judgements are applied in considering costs to be
capitalised which includes determining expenditures directly related to these activities and allocating overheads between those that are expensed
and capitalised. In addition, costs are only capitalised that are expected to be recovered either through successful development or sale of the
relevant mining interest. Factors that could impact the future commercial production at the mine include the level of reserves and resources, future
technology changes, which could impact the cost of mining, future legal changes and changes in commodity prices. To the extent that capitalised
costs are determined not to be recoverable in the future, they will be written off in the period in which this determination is made.
Carrying value of mine development assets
Mine development assets are amortised using the unit of production ('UOP') method where the mine operating plan calls for production from well-
defined mineral reserves.
The calculation of the UOP rate of amortisation could be impacted to the extent that actual production in the future is different from the current
forecast production based on proved and probable mineral reserves. This would generally result to the extent that there are significant changes in
any of the factors or assumptions used in estimating mineral reserves. These factors could include:
●
●
●
●
●
●
Change in proved and probable reserves;
The grade of mineral reserves may vary significantly from time to time;
Differences between actual commodity prices and commodity prices assumption;
Unforeseen operational issues at mine site;
Changes in capital, operating, mining, processing and reclamation costs, discount rates; and
Changes in mineral reserves could similarly impact the useful lives of the assets depreciated on a straight line basis, where those lives are
limited to the life of the mine.
The Group reviews and tests the carrying value of assets when events or changes in circumstances suggest that the carrying amount may not be
recoverable. Assets are grouped at the lowest level for which identifiable cash flows are largely independent of cash flows of other assets and
liabilities. If there are indications that impairment may have occurred, estimates are prepared for future cash flows the mining assets. Expected
future cash flows used to determine the value-in-use of tangible assets are inherently uncertain and could materially change over time. They are
significantly affected by a number of factors including reserves and production estimates, together with economic factors such as spot gold prices,
discount rates, estimates of costs to produce reserves and future capital expenditure.
Note 4. Operating segments
Identification of reportable operating segments
The Group is organised into one operating segment, being mining and exploration operations. This operating segment is based on the internal
reports that are reviewed and used by the Board of Directors (who are identified as the Chief Operating Decision Makers ('CODM')) in assessing
performance and in determining the allocation of resources.
40
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 4. Operating segments (continued)
Types of products and services
The principal products and services of this operating segment are the mining and exploration operations in Australia, including the East Kundana
and West Kundana Joint Ventures with Evolution Mining Ltd, West Africa and Philippines.
Major customers
During the year ended 30 June 2023 approximately 100% (30 June 2022: 100%) of the Group's external revenue was derived from sales to one
customer.
Operating segment information
As noted above, the Board only considers one segment to be a reportable segment for its reporting purposes. As such, the reportable information
the CODM reviews is detailed throughout the financial statements.
Note 5. Revenue
Revenue from contracts with customers
Sales of gold
Sales of ore
Other revenue
Other revenue
Revenue
Disaggregation of revenue
All sales of gold were made in Australia and recognised as point in time revenue.
Note 6. Other income
Net gain on disposal of property, plant and equipment
2023
$
2022
$
92,046,025
-
92,046,025
121,685,775
2,378,240
124,064,015
62,144
614
92,108,169
124,064,629
2023
$
2022
$
183,124
80,544
41
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 7. Expenses
Profit before income tax includes the following specific expenses:
Depreciation
Buildings
Plant and equipment
Motor vehicles
Mining plant and equipment
Plant and equipment - right-of-use assets
Total depreciation
Amortisation
Mine development
Total depreciation and amortisation
Impairment of assets
Exploration and evaluation (note 15)
Mine development (note 16)
Total impairment of assets
Finance costs
Interest and finance charges paid/payable on borrowings
Interest and finance charges paid/payable on lease liabilities
Finance costs expensed
Net fair value loss
Net fair value loss on financial assets measured at fair value through profit or loss
Superannuation expense
Defined contribution superannuation expense
2023
$
2022
$
143,854
39,471
29,104
1,809,596
1,458,398
224,504
43,241
49,972
3,115,884
2,395,207
3,480,423
5,828,808
8,022,211
7,298,784
11,502,634
13,127,592
2,522,423
-
7,136,553
31,685
2,522,423
7,168,238
18,667
3,700
22,367
135,521
7,113
142,634
310,010
38,691
144,345
124,319
42
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 8. Income tax
Income tax expense
Current tax
Deferred tax - origination and reversal of temporary differences
Current tax relating to prior periods
Aggregate income tax expense
Deferred tax included in income tax expense comprises:
Decrease/(increase) in deferred tax assets
Increase/(decrease) in deferred tax liabilities
Deferred tax - origination and reversal of temporary differences
Numerical reconciliation of income tax expense and tax at the statutory rate
Profit before income tax expense
Tax at the statutory tax rate of 30%
Tax effect amounts which are not deductible/(taxable) in calculating taxable income:
Entertainment expenses
Tax offset for franked dividends
Non-taxable dividends
Consulting fees
Net foreign exchange losses
Other - non-deductible
Sundry items
Adjustment recognised for prior periods
Tax benefit not brought to account
Difference in foreign tax rate
Income tax expense
Tax losses not recognised
Unused tax losses for which no deferred tax asset has been recognised
Potential tax benefit at statutory tax rates
2023
$
2022
$
6,814,855
(2,421,362)
-
4,822,738
1,276,658
46,011
4,393,493
6,145,407
9,392,442
(11,813,804)
(309,960)
1,586,618
(2,421,362)
1,276,658
9,296,083
13,620,999
2,788,825
4,086,300
1,203
(1,139,004)
1,139,004
23,393
(3,813,567)
202,691
43,811
(753,644)
-
5,603,859
(456,722)
1,241
(1,139,004)
1,139,004
20,490
(2,900,171)
137,208
5,920
1,350,988
46,011
5,219,362
(470,954)
4,393,493
6,145,407
2023
$
2022
$
8,974,078
11,555,528
3,140,927
4,044,435
At 30 June 2023, the Group had a potential deferred tax asset of Ghanaian Cedi ('GH₵') GH₵68,661,654 (AUD $8,974,078) (30 June 2022:
GH₵63,596,744 (AUD $11,555,528)). The above potential tax benefit for tax losses have not been recognised in the statement of financial position.
43
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 8. Income tax (continued)
Deferred tax asset
Deferred tax asset comprises temporary differences attributable to:
Amounts recognised in profit or loss:
Property, plant and equipment
Leases
Rehabilitation provisions
Capitalised mine development costs
Blackhole expenditure
Sundry accruals and provisions for leave
Deferred tax asset
Movements:
Opening balance
Credited/(charged) to profit or loss
Closing balance
Deferred tax liability
Deferred tax liability comprises temporary differences attributable to:
Amounts recognised in profit or loss:
Right-of-use assets
Capitalised exploration and mine development
Consumables
Trading stock
Other
Deferred tax liability
Movements:
Opening balance
Charged/(credited) to profit or loss
Closing balance
Income tax refund due
Income tax refund due
44
2023
$
2022
$
277,962
13,779
441,083
-
14,219
313,575
636,154
40,395
544,929
9,055,830
26,159
149,593
1,060,618
10,453,060
10,453,060
(9,392,442)
10,143,100
309,960
1,060,618
10,453,060
2023
$
2022
$
149,773
2,946,811
484,543
1,839,990
1,168,842
142,141
14,806,871
686,584
1,639,829
1,128,338
6,589,959
18,403,763
18,403,763
(11,813,804)
16,817,145
1,586,618
6,589,959
18,403,763
2023
$
2022
$
6,549,172
8,804,914
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 9. Cash and cash equivalents
Current assets
Cash on hand
Cash at bank
Cash on deposit
2023
$
2022
$
5,546
7,039,494
50,000
6,936
6,783,961
50,000
7,095,040
6,840,897
Cash at bank bears fixed interest at 4.11% (30 June 2022: 1.6%) and cash on hand is non-interest bearing.
Cash on deposit bears floating interest rates of 3.87% (30 June 2022: 0.49%). These deposits have an average maturity of 180 days.
Note 10. Trade and other receivables
Current assets
Other receivables
Prepayments
Allowance for expected credit losses
The ageing of the receivables and allowance for expected credit losses provided for above are as follows:
2023
$
2022
$
496,356
372,097
908,234
142,156
868,453
1,050,390
Not overdue
Note 11. Inventories
Current assets
Ore stockpiles - at cost
Gold on hand - at cost
Silver on hand - at net realisable value
Consumables - at cost
Expected credit loss rate
2022
%
2023
%
Carrying amount
2022
$
2023
$
Allowance for expected credit
losses
2022
$
2023
$
-
-
496,356
908,234
-
-
2023
$
2022
$
9,238,386
183,753,736
6,355,699
1,543,361
6,609,377
187,760,299
5,466,096
2,481,402
200,891,182
202,317,174
45
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 12. Financial assets at fair value through profit or loss
Non-current assets
Listed securities - at fair value through profit or loss
Reconciliation
Reconciliation of the carrying amounts at the beginning and end of the current and previous financial year are
set out below:
Opening carrying amount
Change in fair value
Closing carrying amount
Note 13. Property, plant and equipment
Non-current assets
Land and buildings - at independent valuation
Less: Accumulated depreciation
Plant and equipment - at cost
Less: Accumulated depreciation
Motor vehicles - at cost
Less: Accumulated depreciation
Mining plant and equipment - at cost*
Less: Accumulated depreciation
Construction work in progress - at cost
2023
$
2022
$
441,549
751,559
751,559
(310,010)
790,250
(38,691)
441,549
751,559
2023
$
2022
$
1,542,130
(291,882)
1,250,248
487,280
(421,545)
65,735
292,944
(275,947)
16,997
2,143,879
(210,897)
1,932,982
510,047
(407,929)
102,118
364,238
(303,214)
61,024
54,225,876
(48,583,876)
5,642,000
45,670,134
(40,462,388)
5,207,746
1,477,380
50,299
8,452,360
7,354,169
46
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 13. Property, plant and equipment (continued)
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:
Land and
buildings
$
2,648,992
-
-
(491,506)
-
(224,504)
Plant and
equipment
$
80,137
70,912
(3,211)
(2,479)
-
(43,241)
Mining plant
and
equipment*
$
Motor
vehicles
$
Construction
work in
progress**
$
128,257
-
-
(17,261)
-
(49,972)
46,579,304
2,277,851
(52,288)
(921)
83,933
(3,115,884)
100,655
33,577
-
-
(83,933)
-
Total
$
49,537,345
2,382,340
(55,499)
(512,167)
-
(3,433,601)
-
-
-
(40,564,249)
-
(40,564,249)
1,932,982
-
-
(538,880)
-
(143,854)
102,118
17,783
(3,675)
(11,020)
-
(39,471)
61,024
-
-
(14,923)
-
(29,104)
5,207,746
15,189
-
(787)
148,602
(1,809,596)
50,299
1,575,683
-
-
(148,602)
-
7,354,169
1,608,655
(3,675)
(565,610)
-
(2,022,025)
-
-
-
2,080,846
-
2,080,846
Balance at 1 July 2021
Additions
Disposals
Exchange differences
Transfers in/(out)
Depreciation expense
Reclassified capitalised drilling to
mine development (note 16)
Balance at 30 June 2022
Additions
Disposals
Exchange differences
Transfers in/(out)
Depreciation expense
Reclassified from plant and
equipment - right-of-use - current
year (note 14)
Balance at 30 June 2023
1,250,248
65,735
16,997
5,642,000
1,477,380
8,452,360
*
**
In 2023, a reclassification of $nil (30 June 2022: $40,564,249) of resource extension relating to drilling expenditure on Raleigh, Rubicon/Hornet
and Pegasus from mining property, plant and equipment to mine development was made.
Construction work in progress related to Rubicon/Hornet and Pegasus mines.
Valuations of land and buildings
On 31 May 2021, the Company revalued its office building in East Legon. The fair value used represents the amount for which the asset could be
exchanged between knowledgeable parties in an arm's length transaction, based on current prices in an active market for similar properties in the
same location and condition. The valuation was performed by an independent valuation company which is also a member of the Ghana Institute of
Surveyors. The directors do not believe that there has been a material movement in fair value since the revaluation date.
Refer to note 26 for further information on fair value measurement.
Note 14. Right-of-use assets
Non-current assets
Plant and equipment - right-of-use
Less: Accumulated depreciation
The Group leases plant and equipment under agreements of between one to three years.
2023
$
2022
$
261,164
(217,279)
12,719,836
(9,160,225)
43,885
3,559,611
47
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 14. Right-of-use assets (continued)
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:
Balance at 1 July 2021
Depreciation expense
Balance at 30 June 2022
Additions
Depreciation expense
Reclassified to mining plant and equipment - current year* (note 13)
Balance at 30 June 2023
*
Reclassified to mining plant and equipment due to the end of lease.
For other AASB 16 and lease related disclosures, refer to the following:
●
●
●
●
note 7 for details of interest on lease liabilities and other lease payments;
note 18 for lease liabilities at 30 June 2023;
note 25 for maturity analysis at 30 June 2023; and
consolidated statement of cash flows for repayment of lease liabilities.
Note 15. Exploration and evaluation
Non-current assets
Exploration and evaluation - at cost
Plant and
equipment -
right-of-use
$
5,954,818
(2,395,207)
3,559,611
23,518
(1,458,398)
(2,080,846)
43,885
2023
$
2022
$
9,309,795
8,791,986
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:
Balance at 1 July 2021
Additions
Impairment
Balance at 30 June 2022
Additions
Impairment
Balance at 30 June 2023
Exploration
and evaluation
$
7,476,542
8,451,997
(7,136,553)
8,791,986
3,040,232
(2,522,423)
9,309,795
For the EKJV, drilling activities for the year ended 30 June 2023 included 1,558 m of infill drilling for the Nugget orebody, and the K2A mineralised
horizon. The drilling was to infill the Nugget orebody and K2A mineralised zone for resource conversion. The drilling was performed in the first
quarter of the current financial year.
Other exploration and evaluation costs related to infill resource definition drilling at Japa, a diamond hole drilling campaign at Diwalwal and a drilling
program at Seven Mile Hill.
48
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 15. Exploration and evaluation (continued)
Impairment
At each reporting date the Group and the EKJV Manager (where appropriate) undertakes an assessment of the carrying amount of its exploration
and evaluation assets. During the year the Group identified indicators of impairment on certain exploration and evaluation assets under AASB 6
'Exploration for and Evaluation of Mineral Resources'. As a result of this review, an impairment loss of $2,522,423 (30 June 2022: $7,136,553) has
been recognised in profit or loss in relation to areas of interest where no future exploration and evaluation activities are expected.
Note 16. Mine development
Non-current assets
Mine development - at cost
Less: Accumulated amortisation
Less: Impairment
2023
$
2022
$
274,591,083
(197,713,426)
(5,242,181)
275,102,318
(189,691,214)
(5,242,181)
71,635,476
80,168,923
Reconciliations
Reconciliations of the written down values at the beginning and end of the current and previous financial year are set out below:
Balance at 1 July 2021
Additions
Impairment of assets**
Reclassified capitalised drilling from plant and equipment (note 13)*
Amortisation expense
Balance at 30 June 2022
Additions
Write off of capitalised drilling***
Amortisation expense
Balance at 30 June 2023
Mine
development
$
40,550,645
6,384,498
(31,685)
40,564,249
(7,298,784)
80,168,923
9,301,650
(9,812,886)
(8,022,211)
71,635,476
*
**
Included in mining plant and equipment is $40,564,249 of resource extension relating to drilling expenditure on Raleigh, Rubicon/Hornet and
Pegasus.
In May 2023, Raleigh was taken off care and maintenance and started production. The Company made the decision to fully impair the carrying
value of Raleigh mine development up to FY 2022.
*** In June 2023, an assessment of historical capitalised resource extensions was undertaken by the EKJV, with $9,812,886 being written off.
Mine development relates to the Raleigh, Rubicon and Hornet development and the Pegasus underground developments and includes $262,343 in
mine under construction costs relating to Hornet and Golden Hind open pit permitting, compliance and modelling to allow mining to commence.
Note 17. Trade and other payables
Current liabilities
Trade payables
Accrued expenses
Other payables
2023
$
2022
$
6,879,565
429,836
69,431
8,879,914
769,051
69,721
7,378,832
9,718,686
49
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 17. Trade and other payables (continued)
Refer to note 25 for further information on financial instruments.
Note 18. Lease liabilities
Current liabilities
Lease liability
Non-current liabilities
Lease liability
Refer to note 25 for further information on financial instruments.
Note 19. Provisions
Current liabilities
Employee benefits
Non-current liabilities
Rehabilitation
2023
$
2022
$
45,928
819,640
-
45,928
2023
$
2022
$
380,299
356,973
1,960,368
1,834,582
Rehabilitation
The provision for rehabilitation covers the following East Kundana joint venture ('EKJV') tenements - M15/993, M16/308, M16/309, M16/428 and
M24/924.
The provision for rehabilitation also covers the following key long-lived assets:
●
●
●
●
●
●
●
Pope John - pit abandonment bund;
Raleigh - part of pit, waste rock dump, access roads, laydown areas, paste backfill plant and dam, paste sand/tailings stockpile;
Rubicon - pit and abandonment bund, waste rock dump, ROM pad, infrastructure (e.g. offices, workshop, fuel facilities), roads;
White Foil - evaporation ponds;
Kundana water discharge pipeline corridor;
Section 4 of Kundana haul road; and
Kundana/Moonbeam access road.
During the financial year, EKJV management reassessed the rehabilitation cost estimate. There was no significant adjustments to the underlying
cost estimate at 30 June 2023.
Movements in provisions
Movements in each class of provision during the current financial year, other than employee benefits, are set out below:
2023
Carrying amount at the start of the year
Impact of revision to expected cash flows (net of accretion)
Carrying amount at the end of the year
Rehabilitation
$
1,834,582
125,786
1,960,368
50
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 20. Contributed equity
2023
Shares
2022
Shares
2023
$
2022
$
Ordinary shares - fully paid
52,468,077
52,468,077
58,200,026
58,200,026
Ordinary shares
Ordinary shares entitle the holder to participate in any dividends declared and any proceeds attributable to shareholders should the company be
wound up in proportions that consider both the number of shares held and the extent to which those shares are paid up. The fully paid ordinary
shares have no par value and the Company does not have a limited amount of authorised capital.
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have one vote.
Options
The Company has 1,000,000 options on issue.
Share buy-back
On 24 January 2023, the Company announced it would extend the on-market buy-back of ordinary shares up to a maximum of 5,246,807 ordinary
fully paid shares to 20 February 2024. The issued capital at the end of the year was 52,468,077 ordinary fully paid shares.
Capital risk management
The Group's objectives when managing capital are to safeguard its ability to continue as a going concern, so that it can provide returns for
shareholders and benefits for other stakeholders and to maintain an optimum capital structure to reduce the cost of capital.
Capital is regarded as total equity, as recognised in the statement of financial position, plus net debt. Net debt is calculated as total borrowings less
cash and cash equivalents.
In order to maintain or adjust the capital structure, the Group may adjust the amount of dividends paid to shareholders, return capital to
shareholders, issue new shares or sell assets to reduce debt.
The Group would look to raise capital when an opportunity to invest in a business or company was seen as value adding relative to the current
parent entity's share price at the time of the investment. The Group is not actively pursuing additional investments in the short term as it continues
to integrate and grow its existing businesses in order to maximise synergies.
The capital risk management policy remains unchanged from the 30 June 2022 Annual Report.
Note 21. Reserves
Revaluation surplus reserve
Foreign currency reserve
Share-based payments reserve
Change in ownership interest reserve
2023
$
4,548,151
(3,079,948)
249,486
(3,312,684)
2022
$
4,548,151
(2,544,412)
13,972
(3,312,684)
(1,594,995)
(1,294,973)
Revaluation surplus reserve
The reserve is used to recognise increments and decrements in the fair value of land and buildings, excluding investment properties.
Foreign currency reserve
The reserve is used to recognise exchange differences arising from the translation of the financial statements of foreign operations to Australian
dollars. It is also used to recognise gains and losses on hedges of the net investments in foreign operations.
Share-based payments reserve
The reserve is used to recognise the value of equity benefits provided to employees and directors as part of their remuneration, and other parties
as part of their compensation for services.
Changes in ownership interest reserve
This reserve is used to recognise the change in the share of the non-controlling interest.
51
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 21. Reserves (continued)
Movements in reserves
Movements in each class of reserve during the current and previous financial year are set out below:
Balance at 1 July 2021
Foreign currency translation
Share-based payments
Balance at 30 June 2022
Foreign currency translation
Share-based payments
Balance at 30 June 2023
Note 22. Retained profits
Retained profits at the beginning of the financial year
Profit after income tax expense for the year
Dividends paid (note 24)
Retained profits at the end of the financial year
Note 23. Non-controlling interest
Contributed equity
Retained profits
Note 24. Dividends
Dividends
Dividends paid during the financial year were as follows:
Revaluation
surplus
$
Foreign
currency
$
Share-based
payments
$
4,548,151
-
-
4,548,151
-
-
(1,888,758)
(655,654)
-
(2,544,412)
(535,536)
-
-
-
13,972
13,972
-
235,514
Change in
ownership
interest
$
(3,312,684)
-
-
(3,312,684)
-
-
Total
$
(653,291)
(655,654)
13,972
(1,294,973)
(535,536)
235,514
4,548,151
(3,079,948)
249,486
(3,312,684)
(1,594,995)
2023
$
2022
$
191,315,381
522,824
(10,493,615)
200,011,323
1,797,673
(10,493,615)
181,344,590
191,315,381
2023
$
2022
$
6,236,621
45,805,902
6,236,621
44,456,056
52,042,523
50,692,677
2023
$
2022
$
A dividend of 20 cents per ordinary share was paid to shareholders on 15 November 2022 (30 June 2022:
dividend of 20 cents per ordinary share paid on 5 November 2021).
10,493,615
10,493,615
Other than the above, there were no further dividends recommended or declared during the current financial year.
Franking credits
Franking credits available for subsequent financial years based on a tax rate of 30%
52
2023
$
2022
$
165,245,293
166,481,971
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 24. Dividends (continued)
The above amounts represent the balance of the franking account as at the end of the financial year, adjusted for:
●
●
●
franking credits that will arise from the payment of the amount of the provision for income tax at the reporting date
franking debits that will arise from the payment of dividends recognised as a liability at the reporting date
franking credits that will arise from the receipt of dividends recognised as receivables at the reporting date
Note 25. Financial instruments
Financial risk management objectives
The Group's activities expose it to a variety of financial risks: market risk (including foreign currency risk, price risk and interest rate risk), credit risk
and liquidity risk. The Group uses different methods to measure different types of risk to which it is exposed. These methods include sensitivity
analysis in the case of interest rate, foreign exchange and other price risks, and ageing analysis for credit risk.
Risk management is carried out by senior finance executives ('finance') under policies approved by the Board of Directors ('the Board'). These policies
include identification and analysis of the risk exposure of the Group and appropriate procedures, controls and risk limits. Finance identifies, evaluates
and hedges financial risks within the Group's operating units. Finance reports to the Board on a monthly basis.
Market risk
Foreign currency risk
The Group undertakes certain transactions denominated in foreign currency and is exposed to foreign currency risk through foreign exchange rate
fluctuations.
Foreign exchange risk arises from future commercial transactions and recognised financial assets and financial liabilities denominated in a currency
that is not the entity's functional currency. The risk is measured using sensitivity analysis and cash flow forecasting.
The average exchange rates and reporting date exchange rates applied were as follows:
Average exchange rates Reporting date exchange rates
2023
2022
2022
2023
Australian dollars
Ghanaian New Cedi
0.1341
0.2093
0.1307
0.1817
The carrying amount of the Group's foreign currency denominated financial assets and financial liabilities at the reporting date were as follows:
2023
$
Assets
2022
$
2023
$
Liabilities
2022
$
Ghanaian New Cedi
1,551,617
2,180,226
150,147
153,504
The Group had net assets denominated in foreign currencies of $1,401,470 (assets $1,551,617 less liabilities $150,147) as at 30 June 2023 (30 June
2022: $2,026,722 (assets $2,180,226 less liabilities $153,504)).
Had the Australian dollar weakened by 60%/strengthened by 60% (30 June 2022: weakened by 60%/strengthened by 60%) against this foreign
currency with all other variables held constant, the Group's profit before tax for the year would have been as follows:
2023
Effect on profit
before tax
AUD strengthened
Effect on
equity
% change
Effect on profit
before tax
% change
AUD weakened
Effect on
equity
Ghanaian New Cedi
60%
840,882
840,882
60%
(840,882)
(840,882)
2022
Effect on profit
before tax
AUD strengthened
Effect on
equity
% change
Effect on profit
before tax
% change
AUD weakened
Effect on
equity
Ghanaian New Cedi
60%
1,216,033
1,216,033
60%
(1,216,033)
(1,216,033)
53
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 25. Financial instruments (continued)
The percentage change is the expected overall volatility of the significant currencies, which is based on management’s assessment of reasonable
possible fluctuations taking into consideration movements over the last year and the spot rate at each reporting date. The actual foreign exchange
loss for the year ended 30 June 2023 was $73,462 (30 June 2022: $23,060).
Price risk
The Group is exposed to equity securities price risks and bullion price risk. This arises from investments held by the Group and classified in the
statement of financial position as financial assets at fair value through profit or loss and bullion held as inventory.
The policy of the Group is to sell gold at the spot price and has not entered into any hedging contracts. The Group's revenues were exposed to
fluctuation in the price of gold. If the average selling price of gold of $2,721.16 (30 June 2022: $2,528.13) for the financial year had
increased/decreased by 10% the change in the profit before income tax for the Group would have been an increase /decrease of $917,032 (30 June
2022: $1,226,141).
Interest rate risk
The Group is not exposed to any significant interest rate risk.
The Group's main interest rate risk arises from cash equivalents and loans with variable interest rates.
As at the reporting date, the Group had the following amounts outstanding:
Cash at bank
Deposits at call
Net exposure to cash flow interest rate risk
Weighted
average
interest rate
%
4.11%
3.87%
2023
Balance
$
7,043,001
50,000
7,093,001
Weighted
average
interest rate
%
1.60%
0.49%
2022
Balance
$
6,769,388
50,000
6,819,388
An official increase/decrease in interest rates of one hundred (30 June 2022: one hundred) basis point would have a favourable/adverse effect on
profit before tax of $709,300 (30 June 2022: favourable/adverse effect $681,939) per annum. The basis point change is based on the expected
volatility of interest rates using market data and analysts forecasts.
Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. The Group has a
strict code of credit, including obtaining agency credit information, confirming references and setting appropriate credit limits. The Group obtains
guarantees where appropriate to mitigate credit risk. The maximum exposure to credit risk at the reporting date to recognised financial assets is
the carrying amount, net of any provisions for impairment of those assets, as disclosed in the statement of financial position and notes to the
financial statements. The Group does not hold any collateral.
The Group has adopted a lifetime expected loss allowance in estimating expected credit losses to trade receivables through the use of a provisions
matrix using fixed rates of credit loss provisioning. These provisions are considered representative across all customers of the Group based on recent
sales experience, historical collection rates and forward-looking information that is available.
The Group has a credit risk exposure with the carrying amount of trade receivables. For some receivables the Group obtains agreements which can
be called upon if the counterparty is in default under the terms of the agreement. The credit rating of cash required to obtain credit is AA.
Generally, trade receivables are written off when there is no reasonable expectation of recovery. Indicators of this include the failure of a debtor to
engage in a repayment plan, no active enforcement activity and a failure to make contractual payments for a period greater than 1 year.
Liquidity risk
Vigilant liquidity risk management requires the Group to maintain sufficient liquid assets (mainly cash and cash equivalents) and available borrowing
facilities to be able to pay debts as and when they become due and payable.
The Group manages liquidity risk by maintaining adequate cash reserves and available borrowing facilities by continuously monitoring actual and
forecast cash flows and matching the maturity profiles of financial assets and liabilities.
54
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 25. Financial instruments (continued)
Remaining contractual maturities
The following tables detail the Group's remaining contractual maturity for its financial instrument liabilities. The tables have been drawn up based
on the undiscounted cash flows of financial liabilities based on the earliest date on which the financial liabilities are required to be paid. The tables
include both interest and principal cash flows disclosed as remaining contractual maturities and therefore these totals may differ from their carrying
amount in the statement of financial position.
Weighted
average
interest rate
%
1 year or less
$
Between 1 and
2 years
$
Between 2 and
5 years
$
Over 5 years
$
-
-
6,879,565
69,431
3.92%
46,458
6,995,454
-
-
-
-
-
-
-
-
-
-
-
-
Weighted
average
interest rate
%
1 year or less
$
Between 1 and
2 years
$
Between 2 and
5 years
$
Over 5 years
$
Remaining
contractual
maturities
$
6,879,565
69,431
46,458
6,995,454
Remaining
contractual
maturities
$
-
-
8,879,914
69,721
-
-
2.79%
827,760
9,777,395
46,458
46,458
-
-
-
-
-
-
-
-
8,879,914
69,721
874,218
9,823,853
2023
Non-derivatives
Non-interest bearing
Trade payables
Other payables
Interest-bearing - fixed rate
Lease liability
Total non-derivatives
2022
Non-derivatives
Non-interest bearing
Trade payables
Other payables
Interest-bearing - fixed rate
Lease liability
Total non-derivatives
Note 26. Fair value measurement
Fair value hierarchy
The following tables detail the Group's assets and liabilities, measured or disclosed at fair value, using a three level hierarchy, based on the lowest
level of input that is significant to the entire fair value measurement, being:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date
Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly
Level 3: Unobservable inputs for the asset or liability
2023
Assets
Listed securities - equity
Land and buildings
Total assets
2022
Assets
Listed securities - equity
Land and buildings
Total assets
There were no transfers between levels during the financial year.
55
Level 1
$
Level 2
$
Level 3
$
Total
$
441,549
-
441,549
Level 1
$
751,559
-
751,559
-
-
-
-
1,250,248
1,250,248
441,549
1,250,248
1,691,797
Level 2
$
Level 3
$
Total
$
-
-
-
-
1,932,982
1,932,982
751,559
1,932,982
2,684,541
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 26. Fair value measurement (continued)
Unless otherwise stated, the carrying amounts of financial instruments reflect their fair value. The carrying amounts of trade receivables and trade
payables are assumed to approximate their fair values due to their short-term nature. The fair value of financial liabilities is estimated by discounting
the remaining contractual maturities at the current market interest rate that is available for similar financial instruments.
Valuation techniques for fair value measurements categorised within level 2 and level 3
On 31 May 2021, the Company revalued its office building in East Legon. The fair value used represents the amount for which the asset could be
exchanged between knowledgeable parties in an arm's length transaction, based on current prices in an active market for similar properties in the
same location and condition. The valuation was performed by an independent valuation company which is also a member of the Ghana Institute of
Surveyors. The directors do not believe that there has been a material movement in fair value since the revaluation date.
Level 3 assets and liabilities
Movements in level 3 assets and liabilities during the current and previous financial year are set out below:
Balance at 1 July 2021
Exchange differences
Depreciation
Balance at 30 June 2022
Exchange differences
Depreciation
Balance at 30 June 2023
Land and
buildings
$
2,648,992
(491,506)
(224,504)
1,932,982
(538,880)
(143,854)
1,250,248
Note 27. Key management personnel disclosures
Compensation
The aggregate compensation made to directors and other members of key management personnel of the Group is set out below:
Short-term employee benefits
Post-employment benefits
2023
$
388,270
28,395
416,665
2022
$
328,253
26,337
354,590
56
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 28. Remuneration of auditors
During the financial year the following fees were paid or payable for services provided by RSM Australia Partners, the auditor of the Company, and
unrelated firms:
Audit services - RSM Australia Partners
Audit or review of the financial statements
Other services - RSM Australia Partners
Tax compliance services
Other services - unrelated firms
Audit or review of the financial statements - PKF
Audit or review of the financial statements - SCG Audits
Audit or review of the financial statements (EKJV) - PricewaterhouseCoopers
Tax compliance services - PricewaterhouseCoopers Ghana
2023
$
2022
$
153,000
149,500
147,550
300,550
95,730
2,787
35,955
198,427
332,899
110,723
260,223
75,500
22,689
24,255
120,697
243,141
Note 29. Contingent liabilities
Native title claims have been made with respect to areas which include tenements in which the Group has interests. The Group is unable to
determine the prospects for success or otherwise of the claims and, in any event, whether or not and to what extent the claims may significantly
affect the Group or its projects.
Note 30. Commitments
Capital commitments
Committed at the reporting date but not recognised as liabilities, payable:
Property, plant and equipment
Lease commitments - tenements rent and rates
Committed at the reporting date but not recognised as liabilities, payable:
Within one year
One to five years
More than five years
Capital commitments relate to mining capital expenditure commitments relating to the East Kundana joint venture.
2023
$
2022
$
11,280
166,983
1,103,542
4,155,531
8,322,055
1,086,857
4,096,218
-
13,581,128
5,183,075
57
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 31. Related party transactions
Parent entity
Tribune Resources Limited is the parent entity.
Subsidiaries
Interests in subsidiaries are set out in note 33.
Associates
Interests in associates are set out in note 34.
Joint operations
Interests in joint operations are set out in note 35.
Key management personnel
Disclosures relating to key management personnel are set out in note 27 and the remuneration report included in the directors' report.
Transactions with related parties
The following transactions occurred with related parties:
2023
$
2022
$
12,334
148,259
397,487
6,275
186,851
446,326
Payment for other expenses:
Payment for exploration expenses for Lake Grace Exploration Pty Ltd *
Payment of rent, rates and levies to Melville Parade Pty Ltd*
Reimbursement of operating expenses to Iron Resources Liberia Ltd*
*
An entity in which Anthony Billis is a director
Receivable from and payable to related parties
There were no trade receivables from or trade payables to related parties at the current and previous reporting date.
Amounts to/from related parties
There were no loans to or from related parties at the current and previous reporting date.
Terms and conditions
All transactions were made on normal commercial terms and conditions and at market rates.
58
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 32. Parent entity information
Set out below is the supplementary information about the parent entity.
Statement of profit or loss and other comprehensive income
Loss after income tax
Total comprehensive income
Statement of financial position
Total current assets
Total assets
Total current liabilities
Total liabilities
Equity
Contributed equity
Share-based payments reserve
Retained profits
Total equity
2023
$
Parent
2022
$
(464,169)
(325,250)
(464,169)
(325,250)
2023
$
Parent
2022
$
135,817,718
143,210,911
237,646,285
259,572,685
5,624,261
7,981,682
11,995,099
23,199,229
17,469,165
249,486
207,932,535
17,469,165
13,972
218,890,319
225,651,186
236,373,456
Guarantees entered into by the parent entity in relation to the debts of its subsidiaries
The parent entity had no guarantees in relation to the debts of its subsidiaries as at 30 June 2023 and 30 June 2022.
Contingent liabilities
The parent entity had no contingent liabilities as at 30 June 2023 and 30 June 2022. other than what is disclosed in note 29.
Capital commitments
Committed at the reporting date but not recognised as liabilities, payable:
Property, plant and equipment, as budgeted by the EKJV and payable in the next 5 years
2023
$
Parent
2022
$
8,460
125,237
Significant accounting policies
The accounting policies of the parent entity are consistent with those of the Group, as disclosed in note 2, except for the following:
●
●
●
Investments in subsidiaries are accounted for at cost, less any impairment, in the parent entity.
Investments in associates are accounted for at cost, less any impairment, in the parent entity.
Dividends received from subsidiaries are recognised as other income by the parent entity and its receipt may be an indicator of an impairment
of the investment.
59
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 33. Interests in subsidiaries
The consolidated financial statements incorporate the assets, liabilities and results of the following subsidiaries in accordance with the accounting
policy described in note 2:
Name
Rand Mining Limited*
Rand Exploration N.L.* (ii)
Mount Manning Resources Pty Ltd (iii)
Tribune Resources (Ghana) Limited
Fort Accra Ltd (iv)
Prometheus Management Corporation (i)
Prometheus Developments Pte Ltd
Tribune Resources Ghana Gold Ltd (iv)
Principal place of business /
Country of incorporation
Australia
Australia
Australia
Ghana
Ghana
Philippines
Singapore
British Virgin Islands
Ownership interest
2022
%
2023
%
46.73%
46.73%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
46.73%
46.73%
100.00%
100.00%
100.00%
100.00%
100.00%
100.00%
*
These entities are party to a deed of cross guarantee, dated 21 June 2023, under which each company guarantees the debts of the other.
100% owned subsidiary of Prometheus Developments Pte Ltd
(i)
100% owned subsidiary of Rand Mining Limited
(ii)
(iii) 50% owned subsidiary of Rand Mining Limited
(iv) 100% owned subsidiary of Tribune Resources (Ghana) Limited
60
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 33. Interests in subsidiaries (continued)
Summarised financial information
Summarised financial information of the subsidiary with non-controlling interests that are material to the Group are set out below:
Rand Mining Limited
2023
2022
$
$
79,564,722
22,507,517
77,301,774
27,365,926
102,072,239
104,667,700
2,201,414
2,179,489
4,443,495
5,066,725
4,380,903
9,510,220
97,691,336
95,157,480
30,249,011
(18,265,180)
32,088,399
(16,661,442)
11,983,831
(3,762,379)
15,426,957
(4,768,685)
8,221,452
10,658,272
-
-
8,221,452
10,658,272
9,250,028
(3,381,848)
(5,870,326)
11,105,176
(4,018,131)
(6,278,708)
(2,146)
808,337
4,379,766
5,677,919
Summarised statement of financial position
Current assets
Non-current assets
Total assets
Current liabilities
Non-current liabilities
Total liabilities
Net assets
Summarised statement of profit or loss and other comprehensive income
Revenue
Expenses
Profit before income tax expense
Income tax expense
Profit after income tax expense
Other comprehensive income
Total comprehensive income
Statement of cash flows
Net cash from operating activities
Net cash used in investing activities
Net cash used in financing activities
Net increase/(decrease) in cash and cash equivalents
Other financial information
Profit attributable to non-controlling interests
61
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 34. Interests in associates
Interests in associates are accounted for using the equity method of accounting. Information relating to associates that are material to the Group
are set out below:
Name
Principal place of business /
Country of incorporation
Paraiso Consolidated Mining Corporation
Philippines
Summarised financial information
Summarised statement of financial position
Current assets
Non-current assets
Total assets
Current liabilities
Non-current liabilities
Total liabilities
Net liabilities
Summarised statement of profit or loss and other comprehensive income
Revenue
Expenses
Loss before income tax
Other comprehensive income
Total comprehensive income
Note 35. Interests in joint operations
Ownership interest
2022
%
2023
%
40.00%
40.00%
Paraiso Consolidated Mining
Corporation
2022
$
2023
$
36,482
49,960
86,442
76,465
74,317
150,782
173,420
21,294,830
149,861
20,636,079
21,468,250
20,785,940
(21,381,808)
(20,635,158)
13,184
(457,799)
8
(1,325,764)
(444,615)
(1,325,756)
363,993
(539,596)
(80,622)
(1,865,352)
The Group has recognised its share of jointly held assets, liabilities, revenues and expenses of joint operations. These have been incorporated in the
financial statements under the appropriate classifications. Information relating to joint operations that are material to the Group are set out below:
Name
Principal place of business /
Country of incorporation
East Kundana Joint Venture
Australia
Ownership interest
2022
%
2023
%
49.00%
49.00%
62
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 36. Cash flow information
Reconciliation of profit after income tax to net cash from operating activities
Profit after income tax expense for the year
Adjustments for:
Depreciation and amortisation
Net gain on disposal of property, plant and equipment
Share-based payments
Non-operating right-of-use
Unwind of discount
Impairment of mine development
Impairment of financial assets
Impairment of exploration and evaluation
Write off of capitalised drilling
Other
Change in operating assets and liabilities:
Decrease in trade and other receivables
Decrease in inventories
Decrease in deferred tax assets
Decrease in trade and other payables
Increase/(decrease) in provision for income tax
Decrease in deferred tax liabilities
Increase in employee benefits
Increase in other provisions
Net cash from operating activities
Changes in liabilities arising from financing activities
Balance at 1 July 2021
Net cash used in financing activities
Other changes
Balance at 30 June 2022
Net cash used in financing activities
Other changes
Balance at 30 June 2023
Note 37. Earnings per share
Profit after income tax
Non-controlling interest
Profit after income tax attributable to the owners of Tribune Resources Limited
63
2023
$
2022
$
4,902,590
7,475,592
11,502,634
(183,124)
235,514
(88,720)
-
-
310,010
2,522,423
9,812,886
33,588
410,394
1,425,993
9,392,442
(2,563,080)
2,255,742
(11,813,804)
23,325
125,787
13,127,596
(80,544)
13,972
(85,307)
1,176
31,685
38,691
7,136,553
-
(132,982)
1,061,102
30,734,178
2,239,958
(2,606,611)
(20,270,805)
(963,300)
93,292
1,176
28,304,600
37,815,422
Lease
liability
$
3,315,323
(2,364,448)
(85,307)
865,568
(730,920)
(88,720)
45,928
2023
$
2022
$
4,902,590
(4,379,766)
7,475,592
(5,677,919)
522,824
1,797,673
Tribune Resources Limited
Notes to the consolidated financial statements
30 June 2023
Note 37. Earnings per share (continued)
Weighted average number of ordinary shares used in calculating basic earnings per share
Weighted average number of ordinary shares used in calculating diluted earnings per share
Basic earnings per share
Diluted earnings per share
Note 38. Share-based payments
Number
Number
52,468,077
52,468,077
52,468,077
52,468,077
Cents
1.00
1.00
Cents
3.43
3.43
Employee Incentive Plan
A share option plan ('Plan') has been established by the Group and approved by shareholders at the 26 November 2021 annual general meeting,
whereby the Group may, at the discretion of the Board, grant options over ordinary shares in the parent entity to certain eligible personnel of the
Group. The options are issued for nil consideration and are granted in accordance with performance guidelines established by the Board.
Set out below are summaries of options granted under the plan:
2023
Grant date
Expiry date
31/05/2022
31/05/2025
Exercise
price
$6.00
Balance at
the start of
the year
1,000,000
1,000,000
Granted
Exercised
Expired/
forfeited/
other
Balance at
the end of
the year
-
-
-
-
-
-
1,000,000
1,000,000
Weighted average exercise price
$6.00
$0.00
$0.00
$0.00
$6.00
2022
Grant date
Expiry date
31/05/2022
31/05/2025
Exercise
price
$6.00
Balance at
the start of
the year
Granted
Exercised
Expired/
forfeited/
other
Balance at
the end of
the year
-
-
1,000,000
1,000,000
-
-
-
-
1,000,000
1,000,000
Weighted average exercise price
$0.00
$6.00
$0.00
$0.00
$6.00
The weighted average remaining contractual life of options outstanding at the end of the financial year was 1.92 years.
Share-based payments expense recognised in profit or loss
Share-based payments expense
Note 39. Events after the reporting period
2023
$
2022
$
235,514
13,972
No matter or circumstance has arisen since 30 June 2023 that has significantly affected, or may significantly affect the Group's operations, the
results of those operations, or the Group's state of affairs in future financial years.
64
Tribune Resources Limited
Directors' declaration
30 June 2023
In the directors' opinion:
●
●
●
the attached financial statements and notes comply with the Corporations Act 2001, the Accounting Standards, the Corporations Regulations
2001 and other mandatory professional reporting requirements;
the attached financial statements and notes comply with International Financial Reporting Standards as issued by the International Accounting
Standards Board as described in note 2 to the financial statements;
the attached financial statements and notes give a true and fair view of the Group's financial position as at 30 June 2023 and of its performance
for the financial year ended on that date; and
●
there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.
The directors have been given the declarations required by section 295A of the Corporations Act 2001.
Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.
On behalf of the directors
___________________________
Anthony Billis
Director
29 September 2023
Perth
65
INDEPENDENT AUDITOR’S REPORT
To the Members of TRIBUNE RESOURCES LIMITED
Opinion
We have audited the financial report of Tribune Resources Limited (the Company) and its subsidiaries (the Group),
which comprises the statement of financial position as at 30 June 2023, the consolidated statement of profit or
loss and other comprehensive income, the consolidated statement of changes in equity and the consolidated
statement of cash flows for the year then ended, and notes to the financial statements, including a summary of
significant accounting policies, and the directors' declaration.
In our opinion, the accompanying financial report of the Group is in accordance with the Corporations Act 2001,
including:
(i)
Giving a true and fair view of the Group's financial position as at 30 June 2023 and of its financial
performance for the year then ended; and
(ii)
Complying with Australian Accounting Standards and the Corporations Regulations 2001.
Basis for Opinion
We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those
standards are further described in the Auditor's Responsibilities for the Audit of the Financial Report section of
our report. We are independent of the Group in accordance with the auditor independence requirements of the
Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's
APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial
report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.
We confirm that the independence declaration required by the Corporations Act 2001, which has been given to
the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor's
report.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our
opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the financial report of the current period. These matters were addressed in the context of our audit of the financial
report as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
Key Audit Matter
Carrying value of mine development and property, plant and equipment
Refer to Note 13 and 16 in the financial statements
How our audit addressed this matter
The Group has mine development and property, plant
and equipment with a carrying value of $71,635,476
and $8,452,360 respectively as at 30 June 2023.
We considered this to be a key audit matter due to
significant
to
determine the appropriate carrying value at the
reporting date. The significant judgements include:
judgments made by management
• Application of the units of production method in
determining the amortisation charge for the year.
This included determining the appropriate ore
reserve estimate and
the cost allocation
attributable to mine development; and
• Assessing whether any impairment indicators
existed at the reporting date in relation to the mine
development and property, plant and equipment.
Existence and valuation of inventories
Refer to Note 11 in the financial statements
As at 30 June 2023, the Group’s inventories are
mainly comprised of:
-
-
-
gold bullion of $183,753,736;
silver of $6,355,699; and
ore stockpiles of $9,238,386.
We considered this to be a key audit matter as it is the
most significant balance on
the consolidated
statement of financial position and the judgments
made by management to determine the appropriate
carrying value at the reporting date. The significant
judgements include:
• Valuation of inventories is based on an inventory
costing model developed by management, which
considers the direct and indirect costs (cash and
non-cash) incurred at each stage of the production
process;
• Estimation of the quantity of ore stockpiles based
on survey reports produced by a management
expert; and
• Assessing the net realisable value of inventories.
Our audit procedures included:
to
key
inputs
testing
• Assessing the Group’s accounting policy for
compliance with Australian Accounting Standards;
• Assessing management’s amortisation models
and
supporting
documentation. This included an assessment of
the work performed by the management’s expert
in respect of the ore reserve estimate, including
the competency and objectivity of the expert;
• Testing, a sample of additions to supporting
documentation and ensuring
the amounts
capitalised during the year are in compliance with
the Group’s accounting policy;
• Critically assessing and evaluating management’s
indicators and
impairment
assessment of
conclusion reached;
• Testing the mathematical accuracy of the rates
applied for amortisation; and
• Assessing the appropriateness of disclosure in the
financial statements.
Our audit procedures included:
• Assessing the Group’s accounting policy for
compliance with Australian Accounting Standards;
• Assessing the methodology and key assumptions
in the Group’s inventory costing model, including
agreeing key inputs to supporting documentation
and performing analytical review procedures to
assess the reasonableness of the cost per ton of
ore mined;
• Obtaining third party confirmation on existence of
gold bullion and silver on hand at reporting date;
• Critically assessing and evaluating survey reports
prepared by a management expert in relation to
existence of ore stockpiles at reporting date;
• Critically assessing and evaluating management’s
assessment of net realisable value; and
• Assessing the appropriateness of disclosures in
the financial statements.
Other Information
The directors are responsible for the other information. The other information comprises the information included
in the Group's annual report for the year ended 30 June 2023, but does not include the financial report and the
auditor's report thereon.
Our opinion on the financial report does not cover the other information and accordingly we do not express any
form of assurance conclusion thereon.
In connection with our audit of the financial report, our responsibility is to read the other information and, in doing
so, consider whether the other information is materially inconsistent with the financial report or our knowledge
obtained in the audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other
information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of the Directors for the Financial Report
The directors of the Company are responsible for the preparation of the financial report that gives a true and fair
view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal
control as the directors determine is necessary to enable the preparation of the financial report that gives a true
and fair view and is free from material misstatement, whether due to fraud or error.
In preparing the financial report, the directors are responsible for assessing the ability of the Group to continue as
a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of
accounting unless the directors either intend to liquidate the Group or to cease operations, or have no realistic
alternative but to do so.
Auditor's Responsibilities for the Audit of the Financial Report
Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from
material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion.
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance
with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users taken on the basis of this financial report.
A further description of our responsibilities for the audit of the financial report is located at the Auditing and
Assurance Standards Board website at: https://www.auasb.gov.au/admin/file/content102/c3/ar1_2020.pdf. This
description forms part of our auditor's report.
Report on the Remuneration Report
Opinion on the Remuneration Report
We have audited the Remuneration Report included within the directors' report for the year ended 30 June 2023.
In our opinion, the Remuneration Report of Tribune Resources Limited, for the year ended 30 June 2023, complies
with section 300A of the Corporations Act 2001.
Responsibilities
The directors of the Company are responsible for the preparation and presentation of the Remuneration Report
in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the
Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards.
RSM AUSTRALIA PARTNERS
Perth, WA
Dated: 29 September 2023
AIK KONG TING
Partner
Tribune Resources Limited
Shareholder information
30 June 2023
The shareholder information set out below was applicable as at 11 September 2023.
Distribution of equitable securities
Analysis of number of equitable security holders by size of holding:
1 to 1,000
1,001 to 5,000
5,001 to 10,000
10,001 to 100,000
100,001 and over
Holding less than a marketable parcel
Equity security holders
Twenty largest quoted equity security holders
The names of the twenty largest security holders of quoted equity securities are listed below:
EVOLUTION MINING LIMITED
TRANS GLOBAL CAPITAL LTD
SIERRA GOLD LTD
MARFORD GROUP PTY LTD
CITICORP NOMINEES PTY LIMITED
BNP PARIBAS NOMS PTY LTD (DRP)
BNP PARIBAS NOMINEES PTY LTD ACF CLEARSTREAM
HAVANNAH INVESTMENTS PTY LTD
RAYPOINT PTY LTD
CARSTOWE HOLDINGS PTE LTD
BNP PARIBAS NOMINEES PTY LTD (IB AU NOMS RETAILCLIENT DRP)
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED - A/C 2
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED
MR PHILLIP JOHN DOYLE + MRS CARLA DOYLE (PJ DOYLE FAMILY A/C)
NERO RESOURCE FUND PTY LTD (NERO RESOURCE FUND A/C)
BOND STREET CUSTODIANS LIMITED (GARYHA - D81497 A/C)
MR MARK DAVID DELROY
DALY SF PTY LTD (DALY SUPER A/C)
MR SHANE COLIN MARDON
Unquoted equity securities
Options over ordinary shares issued
70
Ordinary shares
% of total
shares
issued
Number
of holders
344
396
105
165
42
0.25
1.98
1.54
9.30
86.93
1,052
100.00
132
0.01
Ordinary shares
% of total
shares
issued
Number held
11,045,101
8,554,000
8,020,000
2,267,781
1,896,716
1,891,071
1,466,713
970,892
850,000
790,057
778,767
623,199
572,717
478,442
400,000
350,875
338,962
324,173
300,000
300,000
42,219,466
21.05
16.30
15.29
4.32
3.61
3.60
2.80
1.85
1.62
1.51
1.48
1.19
1.09
0.91
0.76
0.67
0.65
0.62
0.57
0.57
80.46
Number
on issue
Number
of holders
1,000,000
8
Tribune Resources Limited
Shareholder information
30 June 2023
Substantial holders
The names of the substantial shareholders disclosed to the Company as substantial shareholders at 11 September 2023 are:
Anton Billis and Related Parties
Sierra Gold Ltd
Evolution Mining Limited
Trans Global Capital Limited
Ordinary shares
% of total
shares
issued
Number held
17,091,136
17,091,136
11,045,101
8,454,000
32.57
32.57
21.05
16.11
On-market buy-back
On 24 January 2023, the Company announced it would extend the on-market buy-back of ordinary shares up to a maximum of 5,246,807 ordinary
fully paid shares. The buy-back up to a maximum of 5,246,807 shares was extended to 20 February 2024. During the year, no shares were bought-
back.
Voting rights
The voting rights attached to ordinary shares are set out below:
Ordinary shares
On a show of hands every member present at a meeting in person or by proxy shall have one vote and upon a poll each share shall have one vote.
There are no other classes of equity securities.
71
Tribune Resources Limited
Shareholder information
30 June 2023
Tenements
Description
Western Australia, Australia
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
Kundana
West Kundana
West Kundana
West Kundana
West Kundana
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
Seven Mile Hill
West Kimberly***
Red Lake 1***
Red Lake 2***
Red Lake 3***
Blue Dam***
Yikari***
Yikari***
Ghana, West Africa
Japa Concession.
Mindanao, Philippines
Diwalwal Gold Project
Diwalwal Gold Project
Diwalwal Gold Project
Tenement number
Interest
owned* %
M15/1413
M15/993
M16/181
M16/182
M16/308
M16/309
M16/325
M16/326
M16/421
M16/924
M16/428
M24/924
M16/213
M16/214
M16/218
M16/310
M26/563
M15/1233
M15/1234
M15/1291
M15/1388
M15/1394
M15/1409
M15/1743
P26/4173
P15/6370
P15/6433
P15/6434
E15/1664
E04/2548
P15/6398
P15/6399
P15/6400
P15/6401
P26/4476
P26/4477
729 Area***
452 Area***
Upper Ulip Area***
49.00
49.00
49.00
49.00
49.00
49.00
49.00
49.00
49.00
49.00
49.00
49.00
24.50
24.50
24.50
24.50
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
100.00
40.00
40.00
40.00
Includes Rand Mining Ltd’s, Rand Exploration NL’s and Prometheus Developments Pte Ltd where applicable.
Under application.
*
**
*** Prometheus has entered an Investment Agreement with Paraiso Consolidated Mining Corporation ('Pacominco') and a Joint Venture
agreement with JB Management Mining Corporation ('JB Management' or 'JBMMC'). These agreements allow Prometheus to acquire an 80%
economic interest and 40% legal interest in three mining tenements covering the Diwalwal Gold Project. Through the JB Management Joint
Venture Agreement, Tribune Resources Ltd (via its 100% owned subsidiary Prometheus Developments Pte Ltd) is earning a 40% legal interest
and 80% economic interest in the 452 Area. To date Prometheus Developments is yet to earn any legal or economic interest in this JV as the
JV company is yet to be incorporated.
72